Comments on: The New Economy: The Story Behind Financials and Unemployment

By: oacholon01

oacholon01 — Thu, 08 Oct 2009 04:53:26 +0000

JP reported profits that were up to 36% for the second time as a revenue of more conservative business model but still show difficulty in lending operations and this is due to the fact banks find it hard to give loans to the businesses or even consumers due to credit issues.
According to bsalb1784 and i totally agree with him businesses will get better, if they can still get their credit from the banks in order to still stock up their companies likewise the consumers,who also need to get the same credit to go go those businesses to buy their essential goods.secondly i really do not agree on a b2g government due to the fact that it will also be difficult for the business to expand because the govt may want to control them.What we should realize is the better the economy the better the lives of the people in it everyone has a role in making the economy so much better from the govt-the people and the better the economy the better the people.

By: jb456

jb456 — Thu, 13 Aug 2009 12:48:32 +0000

Bank’s do not want to loan money out because they are waiting to see if they can pay government off the money they borrowed with so many restrictions. The numbers show that the economy is slowly showing signs of improvement. Only time will tell if this is improvement or a increase due to stimulus money.

The financial markets need to have government spending in order to prevent a total collapse of the economy. I believe the bad part of this situation is until we got back to a free market economy, true economic growth will always depend on the government. The US depends on a free market in order to have a strong sustainable economy.

By: Mariano

Mariano — Thu, 13 Aug 2009 03:36:10 +0000

I agree with what trosario has to say about companies not really looking for a paper saying how smart or qualified you are, but physically how experienced that certain individual is. Also, not to give up if your fresh out of college and no jobs are hiring because if you truly love and have a nack for whatever it is you went to school for you will find that perfect job. All in all I am a huge fan of going green because at the end of the day that company will know that they did their part in making sure we get to exhale another day. Going green just shows that that company cares about others not just themselves. I go green almost everyday myself!!

By: trosario01

trosario01 — Wed, 12 Aug 2009 03:55:49 +0000

I strongly disagree with Crystal1818 with the lack of willingness just because i have friends that gratuated from college about a summer or two ago and they still cannot find a job.I believe that the days are so evil. Therefore, people that hire dont even care if you have a a degree,master or associates these days. What they are really looking for are any one with expierences.And yes! even though jobs are so difficult to find I still believe that people should not get discourage and continue looking for a particular job hoping and knowing with a positive attitude that you will find that job.

By: aangel

aangel — Tue, 11 Aug 2009 04:48:34 +0000

I made a mistake! My previous post was meant to be on “Digesting credit, retail, and Boston sports news!”

By having the businesses turning their production of the goods and services to match the needs and wants of government spending will be beneficial to these businesses I think. With the consumers retraining themselves to match the skills that will be needed in the new economy will also be very beneficial to both the individual and the company that they are working for. With the consumers who are skillful for the jobs in their company, the company will run more smoothly as a result of the experience of those working. I also agree as to the businesses who are turning to the alternative technology and the companies going green will prosper. I think that they will do very well because the green movement is picking up and is becoming more and more popular. With more people becoming involved in this green movement, more people will have more knowledge in finding ways to save money using the alternative energy sources. These alternative energy sources and the green movement will start saving money instead of wasting so much of it on the energy sources that are being used nowadays.

By: Mustang23

Mustang23 — Tue, 11 Aug 2009 03:19:25 +0000

Even though a Business to Government economy seems to be a solution for a faultering company to survive, I am wondering what the long-term effects will be. The Government doesn’t always seem to be making the wisest decisions when it comes to the economy and this just seems like a short-term fix. I do agree however, that companies involved in anything to do with frastructure development will see a substantial growth in the near future. Green businesses especially seem to be gaining the consumers confidence and I’m sure they will be able to expand in more areas than we can even comprehend.

By: sblanchette

sblanchette — Tue, 11 Aug 2009 02:36:23 +0000

Its hard to believe that our economy is coming down to almost all business wanting to work with the government rather than consumers. i personally believe that what the government did to help the bug businesses wasn’t right. i think that bailing out your consumers would have helped the economy recover faster, to a certain extent that is. i’m not saying everyone should have gotten bailed out, but bail the people who have average credit scores. i know it then doesn’t seem fair to not bail out the people out with really low credit scores but most of the time that was there fault. if the government bailed out the consumer rather than the big business the consumer would have been able to continue buying things and it would eventually bail out most of the struggling bug business, theoretically that is. that would have been my perfect scenario.

Going green is definitely something every kid in college should be looking into, because that industry is one of the fast growing industries out there. almost all the car companies are producing some form of hybrid car model if not really fuel efficient cars. Even larger scale companies are beginning to look into other ways to cut down on energy usage, i know i have seen a few IBM commercials talking about there energy efficient servers. even our very on school is going green. they are int he process of building a 0 building(a building that will require no outside power, it will be self sufficient), I know when i get out of school ill definitely be looking to land a position in a green company because as of now it seems like the sky is the limit for that industry.

By: aangel

aangel — Mon, 10 Aug 2009 03:21:46 +0000

For the overall US economy, I think that the measures of the economic performance by the retail sector will continue to suffer as the economy is suffering. Now that people are short with money, they will not be shopping as much as they used to at the stores they would normally spend their money in. On the other hand, if they do choose to shop and spend their money loosely, then they may be looking to shop at cheaper stores.
Working in retail as part of the Abercrombie & Fitch company for three years now, I have seen firsthand the lack of shoppers in comparison to years before. Within the A&F company, there are other brands that branched out including abercrombie (kids) Hollister, Gilly Hicks and Ruehl. Hollister makes 60% of the companies’ profits. Ruehl makes less than 3% of these profits. As a result of this, the 29 Ruehl stores are all being closed in January. Outside of the company the result of the earlier mall hours may be a direct result of the worsening economy. The reason for the amount of sales Hollister brings in could very well be a result of the younger sector of kids shopping at Hollister because the store’s target market is kids between the ages of 12-18. These kids in this age bracket do not have to money conscious as much as others who are much older than they are with additional money worries and their money needing to go elsewhere. The 29 Ruehl stores facing closure in January will definitely leave a lot of people jobless. Those managers who are commonly fresh out of college will be left without a job and may not have anywhere to turn for a while. Those younger part time employees depending on these few hours a week will be left without jobs and will be harder and harder to find any other jobs that may have been easy to find will not have the chance to find them in the struggling economy. As mentioned in the article, companies such as these depend on the back to school season. This season is almost as busy, if not more busy than the Christmas season. Many items that are full price and in season are rarely bought and a bulk of the sales come from the clearance. All in all, I think that the lack of the retail sales will continue decline as the economy is still in the recession. Until then, retail may suffer and will not make as much profit and not bring in as much money and business as times before.

By: bsabs1784

bsabs1784 — Sun, 09 Aug 2009 19:55:39 +0000

One of the major disappointments I have with the financial institutions is their lack of whatc can only be called interest in the common good. As the article pointed out the main way for the economy to reach a stable and healthy platform is for mid- and small-level businesses to succeed and thrive. However, as was also pointed out, in order for this to happen these businesses must rely on credit. The reason for this is that businesses need credit to pay bills and buy inventory, while consumers need credit in order to have the disposbale funds on which to buy the goods or services these businesses are selling. Unfortunately as the major financial institutions are quickly cutting off access to these lines of credit the ability of many businesses to continue on in a profitable way has evaporated. As all of us know the sole reason for a business or company to be in existance is to create a profit and when its ability to do that disappears often the business itself does as well. Another point I’d like to add is that the profits being reported by many of these institutions has come at the cost of predatory business practices. For example several of the banks have used their bailout money to buy stakes in new banks, instead of using these funds to extend credit to consumers as they were supposed to. Suffice it to say when a large bank buys a bunch of new banks their profits will almost certainly go up. Now I myself do not hate the rich, however what good does a country full of poor citizens and a very small percentage of extremely wealthy ones do for anyone besides those at the very top of the food chain. In my opinion, nothing! The bailout money that most of these banks received was to be used specifically to make loans to those in desperate need of them, including those same mid- and small level businesses that whithout those loans would be reduced to non-existence. Unfortunately in the end American greed won out again, as the heads of these banks sought to merely to use those funds to show greater profits and grant themselves larger bonuses. In light of these actions it is now obvious that even after almost 4/5s of a trillion dollars given out by the government, it is not even close to enough to stop many businesses and consumers from falling completely down to the bottom of the economic heap. Yes the unemployment rate has gone down slightly but does anyone really think that it’s going to be enough to keep the government from becoming the primary force behind economic spending for the forseeable future? Of course not, and that is the problem. When the money drys up for the average consumer, those at the top of the chain need to start finding other ways to keep their own incomes intact, and since they have much more direct contact with the governemnt than the average person it is much easier for them to structure things in such a way that funds from the government continue to be funneled to the top instead of filtered down to those that actually need it and can help turn the economy around

By: tas319

tas319 — Sat, 08 Aug 2009 15:38:38 +0000

In regards to the new economy, I think that new “Green” focused business’ will prosper because there are always people out there who think that being green is crucial to run a business and there are consumers out there who would choose to go to a green business over a regular business. I dont think that the businesses should have to change their ways to satisfy the governemts needs, its a good idea in theory for now while we are in this recession because the government is the one that has all the money but when will it end? If we changed it to a B2G, then the smaller businesses will always be under the control of the governemnt and it will be very hard to them to expand and do their own thing.