...if people are fearful of not having income, they slow down their spending, creating a slow down in the flow of resources. The MSM (mainstream media) are fully aware of this and use it whenever it becomes politically expedient. They can, and do, create a recession out of thin air, simply by grabbing the nearest hair-brained "economist" who's willing to say whatever they want for a few minutes of national television coverage. It takes just a few of these and people will becomes restless, and put off larger purchases they'd been considering. Then we have a noticeable slow down, which can they spark other "economists" to jump on the band-wagon and start screaming "RECESSION! RECESSION!"
Once people start believing there's a recession, it will then happen. They did it when George Bush Sr was running for re-election. In the fall of 1991, out of thin air, the networks started grabbing people calling themselves "economists" who would gleefully predict a horrible recession. sure enough by the time spring rolled around, enough people had bought into the lie, that they'd slowed down their normal purchasing and created a recession. However, the president was able to curtail it, and get it turned around well before the election. As quick as they were to report a non-existent recession (in order to create one) the media was equally slow in reporting the actual end of the recession they created, holding off on the story for months, until after the election.
Sunday, February 3, 2008
Danny Carlton blogs: