You have been in this Economy Before

Discussion in 'General Discussion' started by Quigley_Sharps, Mar 17, 2008.

  1. Quigley_Sharps

    Quigley_Sharps The Badministrator Administrator Founding Member

    The future is 1977.

    Democrat in the White House
    Low Dollar value
    15% Home loans, 21% Auto Loans
    Gas Shortages
    High Inflation & Unemployment
    Slow Housing Sales

    We've been there before.
  2. Valkman

    Valkman Knifemaker Moderator Emeritus Founding Member

    I remember in '79 paying 15% on my car loan and mortages were like 12%-13% where I lived. I remember also the even/odd gas (by license plate number) days and red or green flags showing if the stations even had gas.
  3. melbo

    melbo Hunter Gatherer Administrator Founding Member

    Difference: then we still had a powerhouse of manufacturing. Nafta exported all our labor jobs out of the US.

    Difference: FED is cutting interest rates and trying to give crack to an addict.

    Difference: We all had a bit more "roll up our sleeves and get er done" mentality.

    Difference is in the total raping of the monetary policy. So many of us fail to realize that everytime we see a 200 Billion bailout, it comes from us. .Gov has no money except for what it gets from us. Now or later. Are you a taxpayer?
  4. melbo

    melbo Hunter Gatherer Administrator Founding Member

    We didn't have an oil shortage in the 70's... That was the days of the texas Oil booms.... We had bad politics and regulations. We were told we had a gas shortage. Hmmm. I just remembered that we were also having problems with Iran again. Our middle east oil dependency during that time was around 10%. Now it's over 70%.

    Watch for the puppet shows.
  5. Quigley_Sharps

    Quigley_Sharps The Badministrator Administrator Founding Member

    Nahh they were to busy smoking out.
  6. ColtCarbine

    ColtCarbine Monkey+++ Founding Member

    No thanks to Clinton and Bush Sr.
  7. ColtCarbine

    ColtCarbine Monkey+++ Founding Member

    Since I was a freshman in high school in '79 i had other things on my mind than cars [troll]
  8. Bear

    Bear Monkey+++ Founding Member Iron Monkey

    I was a junior in high school... yup... good times[beer]
    Gas, movie tickets and popcorn was still cheap... Worked at Pioneer Chicken and Burger King.... 65 Dodge Dart slant six... couldn't afford anything else.... Good times indeed[beer]
  9. NWPilgrim

    NWPilgrim Monkey++

    You guys nailed it. Nixon put on price controls (must have learned that on his trip to open up China). Can't remember anything Ford did. Carter brought us to international and national shame while interest rates went from 13% for mortgages to the first time ever credit cards went to 18% - 28%.

    I remember reading how in most countries if unemployment reaches 20% it often results in revolution. At 12% that was starting to look possible.

    Now the Fed is cutting interest rates and inflating the money supply. All it does is delay the consequences and makes them worse. In the not too distant future I bet we have inflation far worse than in the Peanut years. Man this looks ugly unless some miracle happens along.
  10. Minuteman

    Minuteman Chaplain Moderator Founding Member

    1977 I dropped out of High School and started working on an oil rig. Rigs running everywhere, the hieght of the big oil boom.

    The difference or maybe what's to come?

    A democratic president heeded the call to do "something". Government institutes measures to control the economy. Places Windfall Profit Tax on those evil, price gouging oil companies.

    By 1979 we have lines at the pumps, the economy is in the tank, by 1980 the domestic oil industry is gutted, the oil compnaies move thier operations to international ventures, tens of thousands out of work in the oil producing states, banks going bankrupt.

    The difference then?

    In 1980 a Republican, free market, president is elected. Ronald Wilson Reagon gives his famous "We have to tighten our belts and get to work and we will get through this" speech to the nation.

    By 1988 we have begun the longest sustained economic growth since the post WWll era.

    Those who forget history are doomed to repeat it.
  11. Tango3

    Tango3 Aimless wanderer

    well surely somebody is making more money from that deal....we should be taxing manuel and his kids in the new plants...
    Hey lets join mehico and the us(and canada too)under one gov,and tax everybody..???[booze][booze]:shock:[lolol]
  12. E.L.

    E.L. Moderator of Lead Moderator Emeritus Founding Member

    Wow, I must have been in the 4th grade. Y'all are old.
  13. Abby Normal

    Abby Normal Monkey++

    Nah, most of these people aren't old, in 1979 I had been out of high school for eleven years and married for nine...

  14. ghrit

    ghrit Bad company Administrator Founding Member

    You guys. Jeez. In 79, I was already thru the Navy, college, and on my third construction job (in Washington state.) Didn't feel the effects of the economy then. The gas crunch was in 74 when we had to wait in lines in PA.
  15. Seacowboys

    Seacowboys Senior Member Founding Member

    Well, we now know who the old farts are: I remember the 74 gas crunch and the 55 speed limit. I'll bet we're the only ones on this board that remember speculating that gas might go as high as a dollar a gallon.
  16. Minuteman

    Minuteman Chaplain Moderator Founding Member

    Yeah, yall are right the gas crunch was in '74 not '79. I don't remember the 70's too well. Lost quite a few brain cells during that decade.

    [stoner] [booze]
  17. monkeyman

    monkeyman Monkey+++ Moderator Emeritus Founding Member

    I remember my kindergarten teacher talking about tho election in '80.
  18. Seawolf1090

    Seawolf1090 Retired Curmudgeonly IT Monkey Founding Member

    There was more than one 'gas crunch'. In '74, I was in high school, riding my Honda CB175, and paying (IIRC) about .65 per gallon of regular.
    I graduated in '75, and joined the USAF in January of '76. Bought my first car in tech school at Chanute AFB, Ill. On the way home for leave before reporting to Tyndall AFB, Fl. I was paying $1.85 per gallon - for a '71 Dodge Polara with a gas-sucking 383 big block. They were threatening the usurious price of TWO BUCKS a gallon soon! Scandalous! Highway Robbery!
    Soon it dropped back down to about $1.25 a gallon, and has steadily risen from there, with the occasional fits and starts.
  19. Valkman

    Valkman Knifemaker Moderator Emeritus Founding Member

    I picked '79 because that's when I hired on with the employer I'm still with and started paying attention to more things. I remember at that time gold was over $800/ounce and the Dow hit 1000 for the first time. Man next year I'll have 30 years with them!
  20. NWPilgrim

    NWPilgrim Monkey++

    In 1972 I was in high school and pumping gas for $.28 - $.32/gal. My folks had just bought a really nice Mercury Montego (full size) for $2,300. Then OPEC, the gas shortage, and price controls (thanks Nixon) came along.

    By 1980 I was in college (yeah will there was some years of logging and commercial diving wedged in there) and I had my first programming job on the side. I programmed formulas for a commodities trader who was tracking/trading gold in the $750 - $850 range.
    With $50 per day swings!

    As bad as it was then, it seems the credit debacle is far worse today. More lowering of the fund rate and swapping $200 billion junk bonds for treasuries (i.e., give away) to a DUTCH investment bank, then more billions trying to bail out Bear Sterns. Just pouring gas on the davaluation/inflation fire.
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