Rural economy rebounding in 2011

[smokeyjay]

That's the big question, nwobcw.  I'm sure there are folks out there that will say we've reached a new plateau.  The trouble is, every plateau has a steep drop off somewhere.  Cycles come and go and we cannot ignore them.  When times are good is when we need to prepare for bad times.

[smokeyjay]

In the USDA, primarily in the line items directed at producers, it's always been "cut as you go".  More often than not, Congress paid for increases in social spending, including food aid programs for the poor by cutting spending aimed at farmers. 

But "cut as you go" will have too many exceptions to allow for real cuts in spending.  Yesterday, Defense Secretary Gates said that the military budget will still have real growth in the next three years and after that, no real growth but will be adjusted for inflation.  Keep in mind that Defense, Social Security and interest on the public debt takes the lion's share of the Federal dollar.

So, already, hypocrisy in the tea party slogan is showing up, and we have barely sworn in the new members of Congress. 

[smokeyjay]

Keep in mind the word speak that Congress uses when discussing cuts.  A cut in spending often means a cut in real growth in spending, not a cut in total dollars in the budget.  Whenever you hear a congressman or woman boast there were cuts in their favorite programs, you have to figure out what they mean before taking them at face value.

[nwobcw]

That's a big question all right.  Does one gear up while machinery is "cheap" and buy land while it is relatively affordable or sit back and be ready to pick up the pieces if it falls apart.

[Kay/NC]

The Chinese will manipulate the value of their currency to place themselves at a comparative advantage in the world economy, even if their people starve.  Count on it. 

[nwobcw]

  It would almost take an act of God to dismantle the industrial-military complex Eishenhower warned people about.

[k-289]

nwobcw---I've mentioned this to some folks before --- they act like they have never heard of" Ike's" statement---amaze's me---herd mentality I guess ?