Reply #4: Whoa we have six times the retail space per capita than any other nation? [View All]

[dkf]

From a link in the article:

If I am correct, my bearishness for retailers (non-grocery, non-essential) will last much longer than those who run up said stocks on "early cycle" thesis, as they will do repeatedly in 2009 (as they have done prematurely multiple times in 2008). We are overbuilt in America - in almost everything; "right sizing" will be a long, painful process and those who dream this all gets solved in "6 months" due to easy money need to look back at our history. Remember, our country has SIX times more retail space, per capita than any other nation. If we take $800 Billion to $1 Trillion of spending (8 to 10% savings rate returns) out of the economy and into personal savings on a permanent basis - what do you think happens to a lot of that space? Will we approve 2 year, $800 Billion stimulus plans every 24 months to offset this? (kick the can forever?)


http://seekingalpha.com/article/112604-what-will-happen-if-america-returns-to-an-historical-savings-rate