The American Dream Is Dead: The Bursting Of The Consumer Bubble

Man we have a globe of 6 billion people, most of which are only just now coming into some kind of disposable wealth. There are still billions and billions of people out there emerging markets and such. There will be growth for the next thousand years.

Technology is just now making it cheap enough for an african bushman to sell a few furs and use the money to purchase a coca cola, only problem is the bushman has a whackjob environmentalist trying to get the UN to ban the sale of his furs so he can buy the coca cola.

Growth will be with us forever, what we need are new ways to exploit these markets for our own benefit. Technology is streamlining labor to the point that many honestly will be forced into an sort of underclass. But the small minority of educated people in the nation still working are not going to beggar themselves keeping that majority in opulence at their own expense.

 

Of all developed socities it is in the USA where the traditional growth model is in danger the most.

This is due the enormous socio-economic inequality that has manifested itself in the last 20 to 30 years, not to mention the total failure of the American model of social mobility -- which is the lowest in the developed world.

That sad truth is that Americans have only themselves to blame for -- it aren't terrorists, commies or other types of thugs that destroyed the United States of America, it was the American populace themselves.

In a matter of a year or two, we (as in: the rest of the world) can finally close the chapter of the World War II: the USSR went bust 20 year ago, now it's the US' turn. In the process, American troops will be expelled from European and Japanese soil.

 

LMAO

"expelled" from Eureopean and Japanese soil? WTF?

You see as occupiers? Wow, what would your Grandparents say, who owe their freedom to Americans?

 

It would work if we didn't have an administration committed to establishing a totally socialist government and attacking all business and private property. Raising taxes has improved the economy, despete the socialists lying, but not when the President is promising to bankrupt industry, stands united with unions against business, and has a single-plank in his platform called tax-and-spend. Socialism and an ultimate dictator isn't a stated plank.

 

Oh look, Janpor is wishful thinking, and telling everyone how they should all be more like him. How.....consistent.

 

Don't be to hard on him, he's a product of a miniature poodle of a society that would have absolutely no significance on the world stage were it not the fact that for some odd reason they chose Brussels for the Capital of EUSSR.

 

SiliconMagician, I'm glad I can entertain you -- sure, I like to dramatize stuff once in a while. That's how I keep things fun around here for myself...

It sure sounds better to "expell American troops" than to suggest that because of financial troubles American troops will retreat from European and Japanese soil in the near future.

Also, despite my need to dramatize a bit, I'm not far from the truth. In fact, I'm spot on.

Yes, wasn't it you SiliconMagician that said numerous times in the past that the "Euros are our vassals" and that "the USA is the obvious master"?



However, economic and financial reality shows that the pupil has outgrown the master indeed.

There is no need for American troops in Europe whatsoever, for both parties involved.

Also, regarding Belgium -- we were mostly liberated by Canadian and British soldiers thank you very much. The Americans played only a minor role, in fact they were sent to the most calm sector of the country to "rest out": the Ardennes. Until the Germans decided otherwise.

I don't have nothing against Americans perse. Not afraid of them either, since it's pretty obvious who's the superior country with a superior people. I'm all for a free-trade-zone between the EU and the USA since the Americans won't know where to look first for bruises.

I said it in the past, and I'm saying it again: it wouldn't be a bad idea for Americans to reconnect with their obvious Germanic roots. Americans can learn a lot from the Dutch, the Flemish, the Germans, etc.

 

I understand the humilation on your part for sure. Certainly because of my nationality, after all I'm from a country where we don't have a federal government for 400 days since today.

If Americans wouldn't have a federal government for 400 days, your country would have imploded a long time ago.

This is a sign of the resilience of the Flemish and Walloon people that has characterized us for almost 1500 years.

Indeed, it's pretty sad to see the complete and under under-performance of the United States of America.

Not to mention to see the epic failure of the American people in the bigger scope of things.

Y'all could use some Belgians -- your economy would be in full swing again, in no time.

 

The American Dream is never dead.

Americans have finnaly realized that they must now live a frugal lifestyle.

Lower living class Liberals are trying to kill the American Dream. Due to their envie and jelously of those with financial stability that was rightfully earned.

 

What would more Beligians do any differently?

 

They eat Waffles morning, noon, and night. Seven days a week. They would train Americans to adjust too their eating habits.

Just imagin how you would save on your overall food spending.​

 

lol That's pretty funny!

 

Dont you have the same or higher debt and unemployment, with a fraction of our GDP per capita. Why would we want to emmulate that?

 

Got to disagree with the idea that big business can not afford the regulations and taxes, as if they actually pay for this. Who can not afford it is the small and medium businesses that use to account for a large part of new hire and employment, as it seen its share twindle over the pass years to lowest levels ever and big business seemingly has added a lot of people to its ranks. As I always contend, the Big Business loves Big Government and visa versa, but once again the small guy gets pushed out exactly what we are now seeing, small and medium businesses stop hiring and basically shutting down under critical mass they can not burden.

 

I like waffles!

 

Use to be a time when grocery stores didn't take credit cards, back in the time when debit cards were basically unheard of, back in the days of checks and cash. I'm not sure and really can not remember why, if it was illegal or just simply the way it was. Either way the grocery store I'm sure didn't want to pay visa that 2-4% which is basically their marginal profit level or real close to it and greater then 50% of the product they sell. So for all of ya'll who demanded to pay for groceries with credit card thank you for your increase of food cost we all now pay.

 

I disagree with you here. The problem hasn't been lifestyle; that was simply a symptom of the manipulation of a financial system which caused human nature to do what it does: enjoy itself.

While most will indeed have to live a frugal lifestyle, that is not any means to an end other than digging out. We can return to luxurious lifestyles the moment that we fix the current drain our lives that comes from Federal Government.

We need it out of our lives in as many aspect as possible. That starts with cutting spending extremely aggressively, and it continues with a careful look at all Government regulations and programs, as well as an easing of Corporate and Personal Income Taxes.

I agree here.

 

I've had far more good days in Brussels, Amsterdam and Belgium as a whole then say Paris or London, so yes that is one thing I might agree with the EU over! Elect Ron Paul and we can show the Belgiums how to live it up! Freedom let my people be free and we can rename NY to its once other name New Amsterdam!

 

Now Now Brown Cow, when have even people espousing this lower Corporate taxes come from? It use to be "Eliminate" Corporate taxes as in Corporations and or any sucessfully ran business the business in question does pay no taxes at all. Really, how would a corporation pay taxes? It is just a piece of paper drafted by attorney's and regulated by the Fed.

The Corporation yet pays no tax no matter how high you raise that tax or low that tax is, it pays no tax, so who does?

Give you a hint, it use to be called double taxation and rightfully its always nothing more then a hidden tax on consumers, yet today we have so many numbnuts they don't see it, they demand more!

NUMBNUTS OF THE HIGHEST ORDER​

 

I think that nation will continue to become richer but our economic lead over the world is shrinking. Every nation had its age, and our age of dominance is slipping from us.

 

Who does Subdermal think is manipulating the financial system? Did someone secretly put the lower-class Liberals in charge of banks and investment firms and corporations? And where did the drain on the Federal Government really come from - if the big contributors had really objected to increased government and government spending, would it really have still occurred?

And if corporations are being taxed so badly over the past few decades, why are corporate profits up sharply and why is so much off-shore money being amnestied at regular intervals? And if personal income taxes were really so crippling, why are the very rich much wealthier (in real terms) than they used to be while the rest of the population has barely moved in terms of real wealth?

And how does exporting well-paying jobs abroad and replacing them with McJobs increase the wealth of the nation as a whole? You lose both the spending power of the difference of the two incomes, and the lost taxes from that difference (not to mention less tax on the corporation). And how does the loss of the production of real things make America stronger?

And why do appliances last an average of 8 years when they used to last 16 years a generation ago, and 24 years two generations ago? And was it the consumer who invented the slogan "go big or go home" and promoted the heck out of it a few years ago? Or who invented junk mortgages in order to create more financial activity at the expense of common sense?

Who really benefits from trimming back certain Federal Government services? Look at the shopping list the Republicans have put forward and ask yourself whose agenda is being pursued. And does America really benefit from greatly widening the gap between rich and poor (including treatment in both the health and justice systems)? Why would crime not go up again if you make more and more people hopeless or desperate or both?

I hope these questions get under Subdermal's skin. Maybe the itch will make him question some of his basic assumptions.

 

Yeah, I'll tell my grandfather that he is responsible for your food prices going up maybe half of a percent over a couple of decades...(actually, no I won't, after looking at the actual numbers you seem to have fabricated your assertion)

On a side note, if you didn't eat then demand for food would be lower and my costs would therefore be lower. Thanks a lot Bub. You selfish prick.

Also, your numbers are borked. Grocery store profit margins are higher than 4% and Visa vendor fees are less than 2%. You'll have to go back to the drawing board and find someone else to blame for your life sucking.

You should also ignore the fact that real costs of food is actually lower now than in the past. Acknowledging that would get in the way of your victim mentality.

​

 

I want a complete elimination of Corporate Taxes, as they are exactly as you say: double taxation.

Your post isn't written concisely enough for me to divine from it exactly what you're trying to say. Are you critical of what I wrote, or agreeing?

 

You may be mistaken, Distraff.

Check this out.



The percentage of Americans living below the poverty line has dropped to 12% from 22% since 1959. In 1999, 25% of American households were considered "low income," meaning they had an annual income of less than $25,000. If Sweden–the very model of a modern welfare state–were judged by the same standard, about 40% of its households would be considered low-income.

In other words poverty is relative, and in the U.S. a large 45.9% of the "poor" own their homes, 72.8% have a car and almost 77% have air conditioning, which remains a luxury in most of Western Europe. The average living space for poor American households is 1,200 square feet. In Europe, the average space for all households, not just the poor, is 1,000 square feet.

So what is Europe's problem? "The expansion of the public sector into overripe welfare states in large parts of Europe is and remains the best guess as to why our continent cannot measure up to our neighbor in the west," the authors write. In 1999, average EU tax revenues were more than 40% of GDP, and in some countries above 50%, compared with less than 30% for most of the U.S.

But a rising tide still lifts all boats, and U.S. GDP per capita was a whopping 32% higher than the EU average in 2000, and the gap hasn't closed since. It is so wide that if the U.S. economy had frozen in place at 2000 levels while Europe grew, the Continent would still require years to catch up. Ireland, which has lower tax burdens and fewer regulations than the rest of the EU, would be the first but only by 2005. Switzerland, not a member of the EU, and Britain would get there by 2010. But Germany and Spain would need until 2015, while Italy, Sweden and Portugal would have to wait until 2022.

Higher GDP per capita allows the average American to spend about $9,700 more on consumption every year than the average European. So Yanks have by far more cars, TVs, computers and other modern goods. "Most Americans have a standard of living which the majority of Europeans will never come anywhere near," the Swedish study says.

 

No I'm about right, the average markup on can items, 1%, on dairy depending upon the item can be as low as 0 or sometimes a lost as in Beer and Bread this is what they call the lost leader section, milk and eggs/bread and beer. The highest mark up item you'll find is on the check out line, those will be astronomical. Now they have other sources of income that the Congress themselves attacked, and that is what you call Vendor Rent which is blamed for keeping new brands off the shelves of your friendly neighborhood grocery store.

The food index increased as well, although the 0.2 percent rise was
the smallest of the year. The index for food at home increased 0.2
percent, with major grocery store food groups mixed. The indexes for
fruits and vegetables and for meats, poultry, fish, and eggs both
declined, and while the other major grocery store food group indexes
all increased, none rose more than 0.6 percent.

The 12 month change in the all items index remained at 3.6 percent.
The change in the index for all items less food and energy edged up
to 1.6 percent, its highest level since January 2010. The food index
has increased 3.7 percent over the last 12 months while the energy
index rose 20.1 percent.


Table A. Percent changes in CPI for All Urban Consumers (CPI-U): U.S. city
average


Seasonally adjusted changes from
preceding month
Un-
adjusted
12-mos.
Dec. Jan. Feb. Mar. Apr. May June ended
2010 2011 2011 2011 2011 2011 2011 June
2011

All items.................. .4 .4 .5 .5 .4 .2 -.2 3.6
Food...................... .1 .5 .6 .8 .4 .4 .2 3.7
Food at home............. .2 .7 .8 1.1 .5 .5 .2 4.7
Food away from home (1).. .1 .2 .2 .3 .3 .2 .3 2.3
Energy.................... 4.0 2.1 3.4 3.5 2.2 -1.0 -4.4 20.1

Now I know for a fact my grocery bill has gone higher this year then 3.6% so I'm expecting that line to be adjusted in the near future. As in coffee, last year or just a few months ago the average price for the large can of folgers or maxwell house was hovering around 9.99 now it is between 11.99 to 14.99 not to mention most can items are up in price by a good 30%. Forget about steaks unless you find a blowout sale somplace, a small chain had Rib Roast average weight 10lbs for only 3.99lb (got a few that week) for a week, they really had none on the shelf as shoppers were wiping them out in the morning by afternoon the meat manager stated he put in an order for more on express but would never recieve extra meat because of the way sales like that are handled. That is what you would call the ultimate lost leader and the company will not send tons of meat to the store to cover a leader, if it is out it is out, they will only put so much poundage on the table.