Recovery Right Around the Corner!

From the AP:

A person briefed on the matter says General Motors Corp. has emerged from bankruptcy protection after signing papers to transfer the bulk of its assets to a new, leaner company majority-owned by the U.S. government.

Some sentence. Recovery right around the corner!

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8 thoughts on “Recovery Right Around the Corner!

  1. The New GM?
    They’re still going to make cars people don’t want.
    Have the same bloated pension and healthcare benefits for people no longer working there.
    The same management.

    The only thing new is who owns them…WE DO! Like it or not.

    I just love this new economic system.

  2. “While the crash only took place six months ago, I am convinced we have now passed through the worst — and with continued unity of effort we shall rapidly recover. There has been no significant bank or industrial failure. That danger, too, is safely behind us.” President Herbert Hoover, May 1, 1930

  3. Another good quote from Buffett looking at the long, long term:

    “If we sat down here [at the] start of the 20th century, and I said there is going to be the panic of 1907, there is going to be a world war. It will be followed by a Great Depression with 35 percent unemployment, and then we will have another war that it looks like we are going to lose, and then we are going to have a nuclear bomb like no one has ever seen … by the time I got through, you’d be crying. But the Dow went from 66 to 11,497 during that same century, and the average person’s standard of living went up 7 to 1. We have a system that unleashes human potential like nobody has ever seen, and it has done it in the past, it will do it in the future. So I’m a huge bull on America — it does let people like you and me do far more than we could have done 200 years ago.”

    http://abcnews.go.com/GMA/Business/Story?id=8041663&page=3

  4. Ken, of course that is what we all want to believe. It just seems we might have a few lost generations economically while we go there! And considering we have finite lifetimes that will suck for a huge number of people.

  5. Who is the “we”? Making money right now is a personal exercise not a social one! I am pretty clear that I see a ton of opportunity for the smart and cagey individual. The masses who believe government will save them, or that the economy will bounce back are the ones in trouble.

  6. What Mr. Buffett fails to realize is that the America he was describing at the beginning of the 20th century is drastically different than America today: and not for the better!

    My grandparents immigrated here from Germany, Austria, and Ireland. Basically all of my friends are two-generation immigrants as well. I’d say 25% of my friends are Korean, meaning either their parents immigrated or they themselves immigrated as small children. I’d imagine very few of you reading this are the descendants of Mayflower pilgrims or Native Americans. What am I getting at? All of these people left their homes to come here for one thing: freedom. Not just personal freedom, but economic freedom as well. None of the people mentioned above came here because we had some great social safety net, or universal health care, or their whole lives were planned from cradle to grave. Quite the opposite–this was a place where you owned the fruits of your labor, the state didn’t meddle in your affairs, and you were free to build capital and build your life in whatever way you pleased.

    What do we have now? We now have a government who thinks it can provide “solutions” to all of our problems (almost all of which it created) by redistributing (aka stealing), borrowing, inflating, and regulating. However, what’s WAY worse is that 60% or more of the population actually believes the government can make things better, too. (If there is a better argument for abolishing public education, I cannot think of one.) Every single step taken by the Obama AND Bush Administrations (but especially Obama) has been a defeat for either economic or personal liberty. We seem completely unable to learn from our mistakes (Vietnam -> Iraq -> Afghanistan; Medicare -> today’s healthcare “crisis” -> “public option” -> ???; the failures of fractional reserve banking too numerous to list.)

    Unfortunately, the sad conclusion is that we are not on a path to prosperity. We are on a forced march to socialism, totalitarianism, and serfdom. Our only alternatives are either a major political change away from our two current parties (which seems highly unlikely, given the love for which many Americans have for government intervention, and the stranglehold the two parties have on our current political system), or some type of secession play in which those that actually care about human freedom go one way, and everyone else goes another.

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