Quote Originally Posted by Cold Warrior View Post
Let's see, markers of a good economy:

1. Unemployment at 6.1% with job losses for 8 straight months
2. Feds have to bail out Fannie Mae and Freddie Mac
3. Foreclosure rate at highest in decades with numbers of past dues still increaing
4. Price of oil doubles in 12 months
5. Price of food, impacted by price of oil, skyrockets with some items seening triple digit increases in less than 18 months
6. 9 bank failures this year to date
7. Major investment banks writing off up to $30B (UBS) in MBS related loses
8. Dollar falls to historic lows against Euro
9. Potential bailout of the Big 3 automakers on the horizon
10. Trade deficit goes from $369B to $709B from 2000 to 2007
11. Recession avoided by two consecutive quarters of less than 1% growth, with inflationary offset calculated not to include oil

Who's to blame for the "spotty patches:"

1. Congress for the last two years only (or before 1994)
2. Bill Clinton
3. Liberal media
4. Jimmy Carter
5. Barack Obama

Got it!
All of what you posted is true, but the economy is still growing. Rising inflation and oil prices do not mean that the economy is bad. True, the banks are struggling, but that has to do not with the economy as a whole, but with the mistaken belief that housing prices will never fall, which the banks had until recently.

By the way, companies that make stuff here and sell them to Europe, like caterpillar and john deere, are doing very well. The falling dollar is not bad for everyone.

We are now at the end of a bubble, and the situation now is analogous to the end of the internet bubble in 2000. None of the people you listed are to blame for this, and George Bush is not to blame for this either. This situation was caused by two things happening simultaneously:

A belief held by many that housing prices will continue to rise indefinately.

China and India rapidly industrializing, and therefore using more oil, making oil more expensive for everybody.