US recession fueled by low wages and consumer debt

More at http://therealnews.com/c.php?c=070926YT
Leo Panitch: Weakening of unions and global pressures on US wages a major factor (1 of 2)

Thursday January 24th, 2008

Leo Panitch is the Canada Research Chair in Comparative Political Economy and a Distinguished Research Professor of Political Science at York University in Toronto. Panitch is also the author of Global Capitalism and American Empire.

Category:

News & Politics

Tags:

• commentary
• analysis
• leo
• panitch
• US
• recession
• economy
• politics
• consumer
• debt
• wages
• equity

[YogaNate79]

If you guys think things are bad now, you haven't been around. I was in rural China in January--imagine riding bikes to get your groceries because you can't afford a car. For entertainment, people played chess or pingpong; they don't have PS3s and Wiis. And starbucks is about 50 YUAN for a cup of coffee, when the average monthly salary is 600 YUAN or less. China as the new economic darling of the world, isn't as spectacular as everybody makes it out to be. If the USA falls, so does China.

[OutsourceNews]

Losing a job or home can happen to anyone, but it's not the end of the world. (3) Mother of two discovers Work-From-Home secret and is now able to support her family. MorningNews7 com

[patsaxon]

Unions are the blams for companies out sourcing to other countries. Lower the minimum wage to $3 an hour or less and then employers will be able to hire again.

[leebog31]

All your food you buy now is the same price but In smaller containers. They are hiding the inflation from us by giving us less. We haven't hit hyperinflation yet then it will cost a days pay for a loaf of bread. Raise your wages all you want but when the dollar falls it's just toilet paper. 47 million on food stamps will cause mass chaos when people go hungry.

[leebog31]

Wages are not the problem. It's the stimulus packages, bailouts and the quantitative easing by the FEDS. They are destroying the dollar and causing inflation which is the agenda. They're doing a huge government power grab and killing the middle class. When there done we will all be slaves and totally reliant on big government.

[1965guitarboy]

@abanikka Thats a fact. Certain culture who have strong family ties and community do well.

[1965guitarboy]

@abanikka Thats a fact.

[RayAir1]

When you factor in the the cost of living in America , real wages in this country are back to the level of the late 1950's. Essentially you're earning $2.50/hr.

[abanikka]

Family working together to accumulate hard assets, one leaves home with a foundation they would never otherwise see!! We do it all the hard way all for selfish reasons. Mine, Mine Mine. This is mine, that is yours and we have to live separate lives and there is no "WE" in Family. Imagine the strength if "WE" can come together?

No matter how unrealistic this may sound, especially after we have evolved to where we are. IT IS an answer and there is no doubt it will work. Imagine the Family security

[geehuckwow]

@OutsourceNews For many it isn't. For some, it even leads to better situations. For many, they get killed or only stabbed and their shoes stolen. Some get thrown out of town. In St Petersburg they don't allow you to sleep in a park daytime or nighttime. Shelters are impossible for many because of the hassles from crackheads. One mother of two (above) has very little effect on the masses. If everyone was in her business, they'd all be out of business real quick. Can't give up, but it's tough.

[abanikka]

Mass indoctrination of common sense and morals at home must begin as it may take so many years. But we have to believe we can achieve this. If we don't try we are guaranteed doom. This needs to be a massive movement. We have to respect and care for one another again and teach our children to NEVER buy ANYTHING you cannot pay cash for. Families need to work as teams to accumulate assets one at a time. Mom, Dad, Brother,Sister ALL working for Brothers home. How long to save that? 3-4 yrs?

[geehuckwow]

@abanikka VERRRYTRUE! Many more of us will be living in the streets and eating stolen bread, but we must do what we must. Some of us will go to prison just so that we have some place to sleep and food. How stubborn will the poyticians be regarding necessities? I don't know. You tell me...