Comments on: Forget about the 2012 Apocalypse Movies because California has Enough Problems in 2010. 10 Charts showing why there will be no Economic or Housing Recovery for California in 2010. Unemployment at 12.5 Percent and $21 Billion in Deficits don’t Help Either.

By: Davis

Davis — Mon, 23 Nov 2009 22:47:26 +0000

How do you figure $1200 in annual taxes. I think you’re about 4 times too low!

By: Doug N

Doug N — Mon, 23 Nov 2009 15:09:30 +0000

Wave of Debt Payments Facing U.S. Government The ultralow interest rates the U.S. has been paying on its colossal debt may not last much longer, and the White House estimates that the tab will exceed $700 billion a year in 2019.

By: martin

martin — Mon, 23 Nov 2009 14:53:38 +0000

Matt…

Gee…..What happened here in the 70′s with high unemployment what about the inflation? What is happening in Zimbabwe today with massive unemployment.

It is ridiculous to believe we are impervious to inflation because we have high unemployment when we have endless monetary printing.

I am well aware there are deflationary forces at work at Walmart for that plastic garbage can made in China, or that flat screen TV from Korea.

Did you hear about the 30% increase in tuition costs? How about the numerous copay increases my Fathers Medicare is having or medical costs in general? Or water rates in San Diego about to go up 10%?

Housing, was never used to calculate the CPI so it going down is mute at this point. The government considers housing an “investment” and it is neither inflationary or deflationary when it moves. Rent on the other hand is part of the calculation but with so much manipulation with the housing market, market signals are mixed up.

So, the things we buy at walmart are the real deflationary force at this time, outweighing everything else and that won’t last.

By the way, China has tens of millions of unemployed and they have 8 percent unemployment. How is that possible? If there inflation continues, gee, I wonder if that plastic garbage can from China will go up?

Now I won’t even get into how the CPI is even calculated in the first place but I will ask the older posters here…………….Remember when you could buy a blender (just one small exaple) that would last 15 years for 75.00? Now you can buy that same blender for 30.00, HUGE price reduction captured by the CPI. Only one problem, the 30.00 blender only lasts 1 to 3 years and is not captured by the CPI.

Just one example of the CPI trickery. http://www.shadowstats.com/

By: LA-Architect

LA-Architect — Mon, 23 Nov 2009 05:55:27 +0000

O.k. I am utterly flabbergasted by the corruption going on with Foreclosures and Short Sales. I have a friend who had her offer on a Short Sale accepted in Calabasas. The guy bought the house for around $350 and then HELOC’d his way to well over 1 million. He wanted not only $739K for the house but an extra $45K in CASH (from the buyers) for his “Furniture”, of which there was no value at all. His Real estate agent was completely complicit in this fraud. The deal fell apart because he was able to get someone else to make a slightly better offer and put more cash in his hand. His mortgage is with BofA (DUH!) Not sure whether BofA will ultimately take the deal, however knowing how stupid this institution is they probably will.
Oh, and to put icing on the cake, he has lived mortgage and property tax free for well over 18 months and still no Foreclosure on him.
Seriously, this fraud is widespread with these Foreclosures and Short Sales. What is going on? Why is this being allowed to happen?

By: Moe

Moe — Mon, 23 Nov 2009 05:03:37 +0000

To Jeff2:
Actually, inflation is generically defined as price inflation. The inflation you’re talking about is called monetary inflation, and you’ll rarely see an economist use the word “inflation” by itself to refer to monetary inflation, unless the context makes that really, really clear.