[tritium]

HA!! I hope all these anti-immigration groups are watching the economy sink as "illegals" now not sure of what the future holds, have stopped spending.

I just purchased a condo in Texas for $57,000, fireplace, garage.. It was listed for $78,000 last year.

I mean it's going to be good for some, snapping up bargains. But the majority of Americans are slowly starting to feel the pinch.

Well my question is, do you think the uncertainties of illegal immigration and the pending election have a direct effect on the U.S. Economy right now?

[xerxes]

What's affecting the US economy these days isn't issues of immigration or who's going to win the next election. Rather, it's the growing concerns over the housing market and the growing signs that the US economy is sliding into a recession.

[Toro]

Illegal immigration will have no effect on the economy. The election will have a marginal effect.

[mtbr]

tritium tritium:

HA!! I hope all these anti-immigration groups are watching the economy sink as "illegals" now not sure of what the future holds, have stopped spending.

I just purchased a condo in Texas for $57,000, fireplace, garage.. It was listed for $78,000 last year.

I mean it's going to be good for some, snapping up bargains. But the majority of Americans are slowly starting to feel the pinch.

Well my question is, do you think the uncertainties of illegal immigration and the pending election have a direct effect on the U.S. Economy right now?

You bought a condo in Texas!

I hope that means you will be leaving us

[ShepherdsDog]

78 G condo for 57??....an older single bedroom I take it, and not in a great neighbourhood.

[kenmore]

The housing situation in the states is dismal to say the least.. many bankruptcies and foreclosures.. its a real crises. I have a friend who bought a huge house in Atlanta Georgia a few years ago... now he is coming back to Canada and is going to lose about 100 grand... sucks .. but we usually follow the states so hang on..

[sasquatch2]

Before all the anti-americans break out the champagne---consider this....

Despite attempts to manage the US economy, from time to time things happen.

In 1929, the markets were vastly over-priced and that resulted in a crash---actually a re-adjustment.
Here in Canada, many business went bust and farmers lost their farms due to being overleveraged---the value of their assets suddenly were less than their debt. Anyone who could hold on for a few months, was okay. The government stepped in and applied adjustments to mortgages which reflected the adjustment. Mortgages dollarwise were reduced by mandate as much as 75%. Basically the inflatted values were reconciled with the new values.
The US housing market was over-priced and this is the result. No values have been lost the houses are still there, it's just the price has been adjusted.

[stokes]

The economy is going to the crapper because for the last 10 years the Americans and to some extent Canadians have been overspending to get the best of everything. When the money ran out they borrowed and then borrowed again so now they owe a ton of money and can no longer spend. Which is why the economy is going down hill.

[dino_bobba_renno]

Oh, I see. Now it’s the immigrants that are ruining the economy. Very convenient scapegoat. Maybe the Americas should take a look at themselves with their high risk unsecured debt loads before they start blaming the immigrants.

Besides I thought most Americans wanted the immigrants out. Funny how the US loves the fact they provide cheap labor and their associated spending in the economy but bitch about them at every given opportunity and deny them any rights what so ever. Illegal immigration is Americas new form of slavery.

[dog77_1999]

Illegal immigrants make up a very small sliver of actual economic output. This current problem is lending of too much credit to people who couldn't afford it(aka subprime). Sadly, the government is trying to "fix" the problem by lowering interest rates and bailouts. If you can't afford a loan, what makes you think that getting another loan is going to solve the problem? And this bailout is a bunch of bull, you are postponing repayment and forcing honest hardworking people to pay for other people's debt.

[sasquatch2]

dog77_1999

$1:

This current problem is lending of too much credit to people who couldn't afford it(aka subprime).

Bang on!
The 1929 crash was largely the result of the overinflated market consisted of stocks purchased with "margin" (credit).
However the market corrects itself but in the process those whose position is heavilly levaged are inspired to jump from buildings. The reasl property remains only the price is corrected.
That texas condo may not be worth $57 G but it was sold for that because the market established that it was not worth $73G.
We had a similar situation here in the late 80's early nineties when 5 year mortgages came due---10% down frequently meant the mortgage was more than the house....on paper....same house different dollar value.

[sandorski]

Illegal Immigration has nothing to do with it, but it wouldn't surprise me if they get blamed by many.

Canada's Economy will slow, but not as much as it would have in the past. Due to the price of Oil, which the US will continue to buy from us, the Canadian Economy is more Insulated from the US Economy than in the past. Even if the US bought less Oil, China would pick up the slack in our sales.

Manufacturing will certainly feel the pain, but Natural Resources is what's driving the Economy. China will buy it all.

[tritium]

dino_bobba_renno dino_bobba_renno:

Oh, I see. Now it’s the immigrants that are ruining the economy. Very convenient scapegoat. Maybe the Americas should take a look at themselves with their high risk unsecured debt loads before they start blaming the immigrants.

Besides I thought most Americans wanted the immigrants out. Funny how the US loves the fact they provide cheap labor and their associated spending in the economy but bitch about them at every given opportunity and deny them any rights what so ever. Illegal immigration is Americas new form of slavery.

Well my statement was to place blame on illegal immigrants, but to show the hidden power of immigrants.

If "Illegals" are afraid of the future and 12 million citizens stop spending, you don't think this has some effect of the economy??

"Illegal immigration is Americas new form of slavery." You are 100% correct. It's also America's easy scape goat.. by people like CNN's Lou Dobbs..

I have heard that many illegals who have small businesses and employ U.S. citizens are selling and returning back to Mexico.

NOT ALL ILLEGALS ARE POOR, UNEDUCATED SEASONAL WORKERS.

[MustangJay]

I disagree with most people here. I don't think the American economy is going into the shithole; I think it IS in the shithole and has probably been there for quite some time, only the gov't has been able to give the illusion of propserity through borrowing, spending, and manipulation of the currency. Consumers, have followed suit, spending themselves in such deep holes that the first wave of a slow down was enough to send millions of them into bankruptcy virtually overnight. What's worse, we still haven't seen the second shoe drop, which is credit cards. Montrgages are only one part of this problem. Sure, some people bit off more then they could chew...big deal. What we're not hearing about is the millions and millions of other people who used their homes equity as collateral to take trips, renovate, or just spend to their heart's desire. Well now that equity has evaporated however the debts are still very real, meaning banks are now on the hook for debts with zero collateral. Finally, the average, again AVERAGE household debt for just credit cards is $5,000!!! That means there's a whole other tidal wave out there waiting to hit shore. ANd when it does, then the real fun begin. Now, in the past, governments could always swing in to save the day with New Deal type programs. Not this time. THe estimated deficit for the U.S., including all future obligations to entitlement programs stands at around $50 trillion!!!! The fact is, like all empires before it, the United States has simply over extended itself, economically and militarily, and is now in what I believe the beginning stages of a complete collapse.

[Clogeroo]

$1:

I disagree with most people here. I don't think the American economy is going into the shithole; I think it IS in the shithole and has probably been there for quite some time, only the gov't has been able to give the illusion of propserity through borrowing, spending, and manipulation of the currency. Consumers, have followed suit, spending themselves in such deep holes that the first wave of a slow down was enough to send millions of them into bankruptcy virtually overnight. What's worse, we still haven't seen the second shoe drop, which is credit cards. Montrgages are only one part of this problem. Sure, some people bit off more then they could chew...big deal. What we're not hearing about is the millions and millions of other people who used their homes equity as collateral to take trips, renovate, or just spend to their heart's desire. Well now that equity has evaporated however the debts are still very real, meaning banks are now on the hook for debts with zero collateral. Finally, the average, again AVERAGE household debt for just credit cards is $5,000!!! That means there's a whole other tidal wave out there waiting to hit shore. ANd when it does, then the real fun begin. Now, in the past, governments could always swing in to save the day with New Deal type programs. Not this time. THe estimated deficit for the U.S., including all future obligations to entitlement programs stands at around $50 trillion!!!! The fact is, like all empires before it, the United States has simply over extended itself, economically and militarily, and is now in what I believe the beginning stages of a complete collapse.

The problem has more to do with fractional reserve banking than anything else. Right now we have debt circulating as if it were currency. If the debt is the currency (money) how can you ever actually pay the debt? The only way to pay debt in our system is by creating more debt. The debt is never actually paid though because more IOU's are just created and circulated with the promise of it being paid. So begins the perpetual creation of fictitious money constantly being lent and borrowed and driving a never ending state of inflation. It is really quite a dishonest method of banking and the only way it stays afloat is by convincing people that their money is worth something.