The Financial Crisis: Recession or Depression?

The current administration has done a great job of distraction. They have formed committees to study problems in order to purposefully and in all actuality get nothing done. They are giftedly performing wholesale obfuscation of the truth through the use of lies, distraction, and dissemination of disinformation. Just because the government doesn't want to tell us the truth doesn't change the facts, challenges and hard reality of the lives average Americans lead. Thanks to Phil Gramm, his Enron loophole and deregulating the banking industry, as well as all the other authors of this new financial reality, I guess we really are now a "nation of whiners" in their eyes.

Our reality is that we have moved from a recession and are rapidly entering a depression (the financial kind, not the mental, implying it's in our imagination kind, Mr. Gramm). I know the rich don't say this and that our government says the inflation rate is only 5.4%. I honestly don't see where they get this number because the average American is seeing much different numbers and could probably relate to the term depression much more readily.

Americans have seen 605,000 jobs disappear just since the beginning of this year. We have experienced a 35.6% increase in gas prices, a 17.3% increase in household energy costs, an increase of 7.5% in food prices, a decrease of approximately 20% in home prices and a record amount of foreclosures, and only a 3.3% increase in the average salary, all over the past year. Our two major mortgage lenders and leading insurance firm had to be taken over or bailed out by the federal government to prevent a further collapse of our economy. Former blue chip banks have gone bankrupt or are about to be bought for pennies on the dollar. The Dow has dropped nearly 1,000 points in two days, and this has lead to a domino effect to other world markets. The Russian market has collapsed and had to be shut down to prevent further damage.

If this financial crisis is not a depression, I don't know what is. And all through this economic crisis...our President, George W. Bush, has remained conspicuously absent and silent. Not one appearance before the American people. Not one word spoken to explain his take on the situation, what he plans to do to rectify it, or information about what American citizens should do to make it through this crisis. Nothing. Absolutely nothing!