Corona-Quarantine-Causes-Depression?-Bob Davis Podcast 913

Will-Corona-Quarantine-Cause-Depression?-Bob Davis Podcast 913

Will Corona Quarantine Cause A Depression?

These days the word depression has begun to appear in the news. Especially relevant? We’re talking about economic depression because business is pretty much shut down. Will the Corona Quarantine Cause Depression? Learn more in Will-Corona-Quarantine-Cause-Depression?-Bob Davis Podcast 913.

Uncharted Waters

We’re in uncharted waters due to the pandemic. No nation has ever brought its economy to full stop in such a short period of time.

Biggest Reduction In Economic Growth Ever

Even more major banks are predicting at least a 25 percent reduction in US output in the first quarter.

Bigger Than The Great Depression

This is unprecedented even in the darkest days of the Great Depression back in the 1930’s.

What’s Done Is Done

While we can ask whether this was a good idea, what’s done is done.

Can We Hit Pause? Or will The Corona Quarantine Cause Depression?

Seems like people think you can ‘hit pause’. Come back in thirty, sixty, ninety or one hundred twenty days. Hit ‘play’ and everything will be fine.

Real Life

But above all, this is real life. Even though it seems like we’re in a movie, we’re not.

We May Not Be Able To Easily Restart

Economies may not start easily once they are shut down. Moreover the central banks have been running very loose monetary policies for years. I’ve done a lot of podcasts about this. The central banks may not have much ammunition left. I’ll tell you what this means in Will-Corona-Quarantine-Cause-Depression?-Bob Davis Podcast 913.

What About Actions Government Has Taken?

As a result of ordered lock downs the government has taken action in the last week or so.

Interest Rates Slashed

The federal reserve slashed interest rates twice. The effective interest rate is now zero.

Another 2 Trillion of Relief On The Way

A 2 trillion dollar relief package is working its way through congress.

One Thousand Dollar Checks

We’re all supposed to get one thousand dollar a month checks as needed.

Why Are They Doing This?

Certainly there’s a reason for all of this. It has to do with what a depression is and what causes it. I’ll explain it in Will-Corona-Quarantine-Cause-Depression?-Bob Davis Podcast 913. Are we there yet? Time will tell.

Making It Better…Or Worse

Finally in the end economists and policy makers will sift through whatever wreckage is left and tell us whether the measures taken now made things better or worse.

Short Deep Recession or Depression

In conclusion whether we have a short and deep recession or a world wide economic disaster known as a depression depends on what our leaders do now.

Out of Our Hands

It sure seems to me like it’s out of our hands.

Sponsored by Ryan Plumbing and Heating of Saint Paul and Reliafund Payment Processors

Will-Corona-Quarantine-Cause-Depression?-Bob Davis Podcast 913

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Blood-In-The-Streets-Yet?-Bob Davis Podcast 909

Blood-In-The-Streets-Yet?-Bob Davis Podcast 909

Blood In The Streets

First of all the phrase ‘blood in the streets’ means you buy when everything goes to hell, learn more in Blood-In-The-Streets-Yet?-Bob Davis Podcast 909. Second of all you have to wonder if we’re getting to that point.

Predicting The Future Is For Suckers

I don’t like predicting the future. I like to wait and see what happens and consequently make judgements.

Streets Are Sensitive To Shocks

On the other hand word travels fast these days. We’re very sensitive to shock. We often are responding at the same time leaders are responding. Long before any in depth facts can be determined.

Perception Is Reality

Moreover in this environment the old saw ‘Perception Is Reality‘ is more true than ever.

Wait and See

I am often asked what I think of some political development. Joe Biden’s ‘sudden surge’. The ‘Super Tuesday‘ results. I still think ‘wait and see’ is the best approach.

Markets Rule The Roost Right Now

Especially relevant now is the course Coronavirus will take. More importantly the economic effects triggered by the real time reactions to the virus.

Each Podcast Needs Clarification

I have been podcasting about just these topics. Furthermore it seems like each podcast needs more clarification.

Primaries and Candidates

In Blood-In-The-Streets-Yet?-Bob Davis Podcast 909 there’s clarification and amplification. There is also most noteworthy additional thoughts about the primaries and potential presidential candidates.

It’s A Long Way To November

Finally we have a long way to go until early November when we actually vote for candidates and initiatives in local, state, house and senate elections. And when we cast our preference for president.

Electoral College Or Congress?

Even more it will be mid December when the electoral college will choose a president. Or, God forbid, the US Congress. A lot can happen between now and then.

About That Blood In The Streets Question

Maybe it would be better to return to the question at the beginning of this blog. Is there blood in the streets yet? And what does it mean.

Sponsored by Ryan Plumbing and Heating of Saint Paul

Blood-In-The-Streets-Yet?-Bob Davis Podcast 909

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Economic-Boom-Smoke-And-Mirrors?-Bob Davis Podcast 872

Economic-Boom-Smoke-And-Mirrors?-Bob Davis Podcast 872

Everyone Gets An Award. So What?

These days we live in a world where everyone gets an award for participation. Every now and then reality intrudes on our blissful paradise. We’ll talk about the 3rd quarter GDP numbers and what they mean in Economic-Boom-Smoke-And-Mirrors?-Bob Davis Podcast 872.

Ballyhoo and BS

We’ve been the victims of economic ballyhoo at least since 2016. Even more for years since the recession of 2008 we’ve been sold all kinds of snake oil. Green Shoots. The Light At The End Of The Tunnel. Priming The Pump. Economic Boom!

GDP Is The Yardstick

Gross Domestic Product is the yardstick by which we measure the economic performance of the world’s countries. This is especially relevant in the United States, where we will choose a new president and congress in 2020.

How Are We Doing?

Economy is one of the yard sticks by which we determine how our leaders ‘are doing’ at their jobs.

Third Quarter

Therefore when the third quarter GDP numbers came out this week, we now have a third data point on which to judge US economic performance in 2019.

Smoke and Mirrors?

How are we doing? We’ll find out in Economic-Boom-Smoke-And-Mirrors?-Bob Davis Podcast 872.

What’s A Boom?

First of all exactly what does an economic ‘boom’ look like and are we really living through one?

What About All The Other Stats?

Second, what about other measurements like employment, government spending, consumer spending and productivity?

Concentrate On Outcomes

I have often described my mission with these podcasts as a quest to concentrate on outcomes and relatively objective analysis of those outcomes.

No Predictions

Above all I avoid predictions. I won’t use superlatives to describe how great or bad things are. I do not want tell listeners what they’re supposed to think or advocate for.

More Questions

In conclusion, these new numbers raise more questions than answers.

In addition, what about inflation, business investment and growth in the future.

Moreover what about intervention by central banks?

I wonder, if there’s an economic boom why do we need so much government spending and interventions to keep it going? What about the enormous spending deficits and public debt?

Meeting Challenges

Finally what are the biggest economic and therefore social challenges ahead. Are we on path to address those challenges?

I don’t hear too much talk about that on the campaign trail, in government and in the media.

Sponsored by John D. Scott Personal Injury Lawyer and Hoffman Hamer and Associates

Economic-Boom-Smoke-And-Mirrors?-Bob Davis Podcast 872

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