American Economics Thread

siegecrossbow

siegecrossbow

General
Staff member
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sndef888 said:
Not a economics person or anything so forgive my noob question

Does anyone know why the 2008 crisis that the US caused barely affected the US economy? It barely dropped a year before rebounding and strongly growing all the way to 2020, meanwhile European economies are still stagnating around the 2008 level in per capita terms. From almost equal in per capita GDP, the US is now almost 50% higher than major European economies.

To a casual observer like me, this almost seems like a crisis the US manufactured to strengthen its position as economic top dog while keeping it's "allies" down.
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China bailed out the global economy.
 
2handedswordsman

2handedswordsman

Junior Member
Registered Member
AndrewS said:
A lot of people left the labour force, new immigrants are at a low, plus the US pumped in so much money that there was a boom.
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There a massive wave of job quit because unemployment benefits are preferable to working for shitty wages. #Nowork hashtags, reddit related communities etc. Plus black market must be thriving. Lootings here and there, zombie cities, 44.000 civilian gun related deaths last year, worst pandemic handling globally...US economy is running perfecly...out of time lol
 
T

Tam

Brigadier
Registered Member
sndef888 said:
Not a economics person or anything so forgive my noob question

Does anyone know why the 2008 crisis that the US caused barely affected the US economy? It barely dropped a year before rebounding and strongly growing all the way to 2020, meanwhile European economies are still stagnating around the 2008 level in per capita terms. From almost equal in per capita GDP, the US is now almost 50% higher than major European economies.

To a casual observer like me, this almost seems like a crisis the US manufactured to strengthen its position as economic top dog while keeping it's "allies" down.
Click to expand...

Wave after wave of quantitative easing. This caused deficits to sharply rise at this point, doubling the size of the deficit from the time the Republic was born in a matter of years.

An obedient press that tries to hide these problems and spread financial propaganda such as CNBC and Jim Cramer.

Manipulation of economic definitions, such as GDP, Inflation, Employment. You change the definition so it favors you.

The real answer is that it did deeply affect the US economy. It splintered the US economy into two halves, the Haves (1%) and the Have Nots (99%). The countryside became poor and suffered a literal depression but the labor did not move out from the countryside to where the jobs are in demand because of their investment in their homes and in their land. The result is 38 million is in poverty, 12 million are children, half of the US population are deeply in debt, taking more than one job and is suffering from food insecurity. You see that in the homeless epidemic in the cities and the rise of far right wing.

As for the Europeans, most of their countries are way above the US in terms of the Gini Index (measure of wealth inequality). Surveys also showed them to be relatively happy, compared to the US. In fact the US Gini index is so bad even Argentina and Haiti is better.

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