Yup, here is a glimpse into the great future

[sjslhill]

Gov. David Paterson has proposed a so-called 'iPod tax' on downloaded music and entertainment services to help his state close a $15.4 billion budget deficit.

Local school districts face cutting classroom programs and staff, increasing class sizes, draining reserve funds and no doubt raising property taxes, in light of Gov. David A. Paterson’s proposed budget that would cut state aid by $698 million, or 3.3 percent.

The scenario is even dimmer locally than it is statewide.

Motorola Inc. announced most employees won't get raises next year and put a freeze on its US pension plan and matching 401(k) contributions as the struggling cellphone maker continues to cut costs.


Morgan Stanley suffers $2.3 billion loss
Roiled by broader market turmoil, the Wall Street firm reported much worse-than-expected results in latest quarter; shares fall on the news.


Just a matter of time before it touches you. We moved too far too fast and now we are going to pay the piper.

my 2 cents.

Steve

[sjslhill]

Dec. 17 (Bloomberg) -- Losses and writedowns from the credit crisis surpassed $1 trillion today, and show little sign of ending, as Morgan Stanley marked down the value of mortgages and leveraged loans.

Morgan Stanley and Goldman Sachs Group Inc.’s markdowns this week bring losses by financial firms in the U.S. to $678 billion since last year, while European banks and insurers have written down a further $300 billion, according to data compiled by Bloomberg. Firms have raised about $928 billion to replenish capital, and cut about 239,000 jobs across the industry.

The losses have caused bank failures from the U.S. and the U.K. to Germany and Iceland, forcing governments to increase borrowing and buy stakes in financial companies. The U.S. alone is spending $700 billion, almost half of which will go directly into banks and insurers, in what has become the worst financial crisis since the Great Depression.

[Steven Vaccaro]

Buckle up, its going to be a rough ride in 2009. More like a bull ride, combined to the bucking pony ride of 2008. The Christmas season is dismal at best at both OSE and my day job. Everyone I speak to is saying the same. Once the 2008 season numbers come in, things will get worse. I'm talking to small businesses that only have enough reserve cash to last until early spring. Good people, good companies. Sad. I visited my jewelry supplier in NY City last month, his inventory and business has been cut by 2/3's! He says he's lucky, some of his wholesale jewelry friends have already closed.

I hope I'm wrong.

[Steven Vaccaro]

Buckle up, its going to be a rough ride in 2009. More like a bull ride, combined to the bucking pony ride of 2008. The Christmas season is dismal at best at both OSE and my day job. Everyone I speak to is saying the same. Once the 2008 season numbers come in, things will get worse. I'm talking to small businesses that only have enough reserve cash to last until early spring. Good people, good companies. Sad. I visited my jewelry supplier in NY City last month, his inventory and business has been cut by 2/3's! He says he's lucky, some of his wholesale jewelry friends have already closed.

I hope I'm wrong.

[sjslhill]

I don't want to sound negative but I don't think we have seen anything yet. Another bubble of housing failures are just around the bend. People are getting laid off everyday, it's all over the Internet. House equity has driven us into spending and spending and spending. Now the houses are worthless and all that is left is debt. All of these bail out packages are running national debt into the trillions, who is going to pay that off? The states are all broke, too much spending for years and years. Credit Cards not getting paid off will start to grow in 2009. Do you think people are going to buy cars? Not a chance in 2009, GM, FORD are in big trouble. I could go on and on.

[sjslhill]

Are you aware of this?
Bernard Madoff, accused mastermind of a $50 billion investment fraud

Social Security is no different...it's not in an account and you won't get a penny of it unless someone is working and paying in. But, it's a Government program and it's okay for it to be ran this way. Social Security is a time bomb that is ready to explode at anytime in the future.

[Dr. Jet]

Are you guys kidding? New York has a great idea. Tax yourself into prosperity!





Here's a couple of questions for all you Left and Right wingers:

Are you under-taxed, or is the government over-spending?

If household income goes down, people compensate by reducing expenditures. You don't suppose the government could consider something along those lines rather than taking more from my wallet, do you?

We pay to educate all the illegal aliens, and provide medical care for them and a whole host of other government "programs". Don't you suppose we could eliminate some expenditires somewhere?

And I mean real cuts, not the kind of cuts Washington refers to. Washington uses an accounting trick called "Baseline Budgeting". It goes something like this:

Your Department has a budget of $10 Billion. Next year, you figure you will need an additional 25% to run the Department. When the budget gets passed, you only get a 15% increase. Why that's a 10% CUT!!! How can we (your Department) survive with these "Draconian" cuts? (Never mind that you just received a 15% increase).

Government budgets NEVER go down. Sometimes, the rate of growth may get reduced, but the result is the same: More money out of your wallet. The officials in New York are telling you "These aren't new taxes, they're just fees." Well guess what you worthless political hacks, the end result is the same. More of my money for you to spend because you think you do a better job at it than I do.

A long time ago, a bunch of men dressed up as indians and threw a bunch of tea into the Boston Harbor because of excessive "Taxation without Representation." What you never learned in school was that the tax rate on tea was 3%.

The lobbyists get political representation; when was the last time your Congressional Representative listened to you?

I think it's time to throw more tea in the harbor.

[sjslhill]

Taxes are a major problem...however, the FOP, Fireman, Teachers, USPS and most everyone is in a union with a no layoff contract and we need pay more taxes for those people. Just like the autoworkers, they need a bailout cause the compaines they work for can't sell cars that nobody wants.

The glory days of the USA and loaned out prosperity is over for years to come.

[sjslhill]

USPS loses money every year and will as long as it's open....billions and billions of lost money. Who pays for these loses? John Doe taxpayer.

[Steven Vaccaro]

I'm bankin on the BIG O to change all this. :-)

I'm starting to think more positive this afternoon. I sold a $20 stainless steel bracelet! YAHOO

"The futures so bright I gotta wear shades" lol

http://www.youtube.com/watch?v=serbOC5sH04

[Meniscus]

Steven,

Since you mentioned that OSE isn't doing well, why not allow some of us to special order some parts through you? I can think of a few things that everyone is buying from someone else. Why not get a piece of that and not hand it over to others?

Of course, this will incur what I like to call opportunity cost which includes your additional time to facilitate these types of transactions. But, that's for you to evaluate => time vs. gain.

In any case, it means that you wouldn't be out the money sitting on inventory...hoping that it will move before the cashflow catches up to expenditures.

Just a thought.

[Flying Scotsman]

The state of the economy is awfull. I am still surviving in my own business...just.
My wife and I are fortunate that the house is paid for.
Steven, I know what many small and especially large companies are facing..."Yes I was going to place an order but Doug we do not have the finances at this time"..i.e credit and bank problems. People are scared and then will not make purchases because the future is not rosy. The days of easy credit are gone and some of those bandits in Wall Street who perpertuated the American Dream. I would throw more than a shoe at !!!
A Douggie Rant

[Steven Vaccaro]

Steven,

Since you mentioned that OSE isn't doing well, why not allow some of us to special order some parts through you? I can think of a few things that everyone is buying from someone else. Why not get a piece of that and not hand it over to others?

Of course, this will incur what I like to call opportunity cost which includes your additional time to facilitate these types of transactions. But, that's for you to evaluate => time vs. gain.

In any case, it means that you wouldn't be out the money sitting on inventory...hoping that it will move before the cashflow catches up to expenditures.

Just a thought.

Please don't take that the wrong way. I was in no way crying/begging, just complaining out loud. OSE is a fun side business that keeps me out of my wifes hair at night. LOL I have had the same day job for 25 years this year. We have seen good and bad times. None as bad as this. But I'm a saver. I've always worried about a down time, just couldn't have imagined things turning this bad.

That being said, I'm always looking for new things that I can carry. Thats why I like the "new products section". I'm still working on getting some new things like outrunner mounts :-) , but things like this take time. Minimum orders, getting samples and testing samples isn't always easy.

[Dr. Jet]

I'm bankin on the BIG O to change all this. :-)

52% of the people wanted change. Well, looks like we are going to get it, one way or the other.

[sjslhill]

Wall Street has caused prices on everything to go up and up. Why do I say that, so they can show profits every month to pay the investors. The bubble has bursted and many of them went broke and now John Doe is bailing them out.