2008 Woodie Awards
What's going on with this economy?
Jeff Braeger
Issue date: 4/2/08 Section: Opinion
Are you like everyone else worried about this horrible economy? Are you tired of increasing gas prices and decreasing property values?
Many families in America are struggling because of this poor economy and have many questions they want answers to. People want to know if we are in a recession, what actually is a recession, why it happened, and when will things get better?
Financial "guru" Suze Orman says we are in a recession but feels we should be concerned not worried. Orman says, "Since 1980, we have only had four recessions, in 1980, '81, 1991 and one in 2001," She also explains, " a recession is nothing more than a contraction. Similar to breathing, when you breathe, you expand then you have to contract. You breathe in order to have life. Money is the same way. It has to expand and contract in order for the economy to have life. Currently we are in the contraction phase."
This being our 5th recession in 28 years doesn't seem like we've had it that bad but most people want to know, how bad is it?
Some groups predict that approximately 2 million Americans could lose their home to foreclosure during the next two years. This doesn't only affect the homeowner who loses their home but the entire neighborhood the home is in. If a home goes through foreclosure and sells for much less than the actual value of the property, it brings the value of other homes in the neighborhood down as well. This is a crisis and Presidential candidates are weighing in each with their own plan. Both Democratic candidates Hillary Clinton and Barack Obama feel the government should step in and assist homeowners who are at risk of losing their home. Republican candidate John McCain disagrees. He doesn't feel the government should be responsible for bailing out struggling homeowners, but the lenders should bare that responsibility.
Rising gas prices are also hurting consumers. AAA reported the national average on Tuesday, April 1 was $3.286 a gallon. Some analysts predict the price of gas to rise to $3.50 and even possibly up to $4 a gallon just in time for summer vacation. Congress isn't ignoring this issue. They called executives from the five biggest oil companies to explain these high prices. The executives explained they were aware that consumers were feeling the pain at the pump, but their profits were in line with other industries. There are three avenues that need to be looked into in order to see gas prices come down; domestic oil production, renewable energy and simply cutting profits from these big oil companies so that gas can be more affordable. Congress ended the meeting with a stern "suggestion" to the oil companies that they either invest more into renewable energy and lower gas prices or expect more of these types of hearings.
Many families in America are struggling because of this poor economy and have many questions they want answers to. People want to know if we are in a recession, what actually is a recession, why it happened, and when will things get better?
Financial "guru" Suze Orman says we are in a recession but feels we should be concerned not worried. Orman says, "Since 1980, we have only had four recessions, in 1980, '81, 1991 and one in 2001," She also explains, " a recession is nothing more than a contraction. Similar to breathing, when you breathe, you expand then you have to contract. You breathe in order to have life. Money is the same way. It has to expand and contract in order for the economy to have life. Currently we are in the contraction phase."
This being our 5th recession in 28 years doesn't seem like we've had it that bad but most people want to know, how bad is it?
Some groups predict that approximately 2 million Americans could lose their home to foreclosure during the next two years. This doesn't only affect the homeowner who loses their home but the entire neighborhood the home is in. If a home goes through foreclosure and sells for much less than the actual value of the property, it brings the value of other homes in the neighborhood down as well. This is a crisis and Presidential candidates are weighing in each with their own plan. Both Democratic candidates Hillary Clinton and Barack Obama feel the government should step in and assist homeowners who are at risk of losing their home. Republican candidate John McCain disagrees. He doesn't feel the government should be responsible for bailing out struggling homeowners, but the lenders should bare that responsibility.
Rising gas prices are also hurting consumers. AAA reported the national average on Tuesday, April 1 was $3.286 a gallon. Some analysts predict the price of gas to rise to $3.50 and even possibly up to $4 a gallon just in time for summer vacation. Congress isn't ignoring this issue. They called executives from the five biggest oil companies to explain these high prices. The executives explained they were aware that consumers were feeling the pain at the pump, but their profits were in line with other industries. There are three avenues that need to be looked into in order to see gas prices come down; domestic oil production, renewable energy and simply cutting profits from these big oil companies so that gas can be more affordable. Congress ended the meeting with a stern "suggestion" to the oil companies that they either invest more into renewable energy and lower gas prices or expect more of these types of hearings.
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