Talk to Clark 1-4pm ET: (877) 87-CLARK or (404) 872-0750
advertisement
Looking for something on the site? Search for it here! Also see Clark's Greatest Hits
Sep 26, 2008 -- How long will financial difficulties last?
Today is being billed as another "special edition" of The Clark Howard Show. Clark realizes this term is overused, but he hopes his listeners notice his general tone of lightness on the topic.
We are not toast, as the media might have you believe.
Clark was at the YMCA working out this morning. A woman came up to him and said, "You said everything is going to OK -- and now it's not!" But the reality is that everything will be OK in the long run.
Having said that, Clark wants to clarify his previous statements about the current state of financial difficulties lasting for 7-12 years. This does not mean that the "mess-a-day" pace will continue all decade long. What it means is that the reckless borrowing of the last 6 years -- both on government and individual levels -- will be a drag on the economy that may last a decade.
This drag on the economy does not mean doom and gloom or even a recession (though Clark believes we're already in one!). But don't expect to see Hoovervilles or apple-selling carts on the street anytime soon. It's not going to happen.
Unfortunately, Clark won't be able to answer any questions submitted via commenting. If you have a question, please try posting it to our message boards.
Avg. rating: N/A
What others are saying
we owe we owe
it's going to take a very long time to dig our way out of this problem..but we can handel this debit. if we stop crying about it and start doing..
Fix the Foundation
One more thing I would like to add to Foundation's First's comments;
We should make a law requiring banks and accounting firms to keep our financial information in the USA. It is pathetic that HSBC's customer service center is in India. There are more opportunities for identity theft when our private info is sitting in a call center in India. Besides, it would mean more jobs for us. If a company has your private information it should not be able to outsource any jobs that deal directly with this information.
Only allow a select few food items from overseas into the United States. No food from China. They are killing us with their lax regulation. Bring toy manufacturing back to the USA. It is pathetic when small children remind others not to put the toy in their mouth, because the item is made in China. It is okay if the items cost more. My daughter can certainly live with less. Also, more mfg jobs.
All medical tests should be done in the USA. Some companies send our medical tests to India to be interpreted. Where is the accountability?
Fix the FOUNDATION
FOUNDATION FIRST
First you have to fix the foundation. Basic stuff. It does not matter what you do to a house without a solid foundation it will eventually crumble. Congress needs to work on foundation stuff first or constantly give money to corrupt companies without end. Folks without extra money can not buy extra stuff to maintain the funds needed for big business to operate. Bush and Congress have dropped the ball on foundation stuff and you see how the market is failing and will continue to do until your shore up the foundation.
Foundation stuff like
1. Put as many homeowners in float loans into fix and add one yr to the mortgages 2. Quit outsourcing good jobs with benefits - create jobs so folks will have funds to spend 3. Low cost medical insurance like in Mexico Open low cost 24 hour clinics at hospitals to limit non-emergencies emergency visits 4. Fight corruption in congress and the markets 5. keep the basic cheap, food, shelter, energy so folk can purchase extra stuff 6. REGULATIONS Mind the store, something McDumbutt wants to do away with. If you did not regulate your spending you would be in a word of poop. Bush says no regulations, but the drug plan for seniors is so regulated it kills any competition and cost savings.
Without a solid foundation no amount of money in the long run will never work.
Remember congress works for you...fire them, teach then a lesson....
The News
When I read an article like this it is reassuring but I'm hearing so many mixed stories. The media continues to put all the big named people on TV telling us that it was a huge mistake that the bill was denied today. Why is this so? Why won't the media tell us what Clark does? I had to turn off the T.V. even though I know that the bill doesn't really support America's middle class which I am definitely part of just watching every news station say that ohh Bush is so disappointed in congress and so on it wears on the mind. Thank you Clark Howard for telling like it is and not sugar coating it put telling it how it should be. There are consequences for our actions.
Recession
It is nice that Mr. Howard is saying we are not toast! The last thing we need is more panic... However, I'd like to hear how he arrived at his conclusion. I mean, please don't just tell us, "show" us...
People do not think about the future
Most people know nothing about the future. When I went to high school in the 70's in Gainesville, fl, teachers were telling me and whomever would listen that a good college education would lead to better paying jobs and a good career. I listened and only 18% of the 600 students took thier advice. They were right. Also in G'ville you have 2 colleges. I went to both. I guess being "COOL" was more important. That does not put food on the table. Most people know right from wrong and spending more money than you have is just plain stupid. You have to lie in the bed you made, even if it is lumpy!
great results
Thank god enough politicians from both sides said NO I for one have been unemployed for over a year, and own two homes one I live in One I rent out this is my retirement savings vehicle I was responsible, saved all my life and never bought a new car never carried any credit card debt So now people like me wont be punished for the reckless lifestyle of others
Global Worries
Europe banks are in trouble, China has slowed. This financial downturn will last so long that folks will be begging the government for money in their retirement and accepting any conditions to get it!
