The United States and Recession: Why Don't We Deal with the Cause?

Several sources, such as CNN, say we are in a recession. Are we in a recession? I'm not an economist, but I bet I know the answer. Let me hit you with a few facts and see what you think; I really don't think the answer to this question is rocket science.

The government is going to rebate an extra tax refund starting in May of this year. All you had to do was earn over $3,000 and you will at least get $300 even if you paid no taxes; that's what the brochure said that I got in the mail from the government. We are encouraged to spend that money, not save it. Does that sound like an economy "jump start" to you? It certainly does to me.

The next truism I have observed is that we have a "buyer's market" in the housing industry. My brother-in-law sells real estate and he spends his time, with rare exception, slashing prices for houses. Property values stereotypically go down in a recession or depression because people don't have as much money to spend and there tends to be a glut in the marketplace.

Have you been to the grocery store lately? What do you think of prices? I thought it was interesting the other day to see a pound of bacon going for five dollars. It must be more expensive to raise hogs, right? I don't believe that is the answer.

Our country's economic problems start in the Middle East take a turn and a rest at America's oil companies, and, then slap us in the face.

The cost of fuel impacts virtually every aspect of our life. Most goods have to be shipped and many are shipped by truck. Fuel prices are going to drive prices beyond the capabilities of most people without increasing their credit debt; it is certainly a larger percentage of most people's wages than it should be.

One doesn't expect the Middle East to take any pity on us. However, it is a sad state of affairs when U.S. oil companies refuse to cut back on billion dollar profits to aid society. What is amazing is the government, from the president on down, know about and admit to the problem but will not do anything about it.

Are we in a recession? Of course we are in a recession. As I said, it doesn't take a rocket scientist to figure out this fact.