What Jim Cramer just said in the tv machine is true

[nadinbrzezinski]

people are holding tight to money because of how dysfunctional DC is.

No, not just companies, the consumers,

Jim Cramer was not TALKING OF COMPANIES BUT OF THE CONSUMER and it is true.

[no limit]

1. Corporations are holding on to their money because they are greedy blood suckers

that are taking advantage off the recession to lay people off then make the ones that still have a job work twice as hard. Corporate profits have been through the roof since the crash in 2008, yet they have hoarded this money the entire time.

[nadinbrzezinski]

3. Yes but he was tallking about you and me

I know we are.

[no limit]

13. Yeah, I'm sure that's true as well but I think the biggest problem is...

people simply have no money to spend. Many are out of work and those that aren't are making less money for more work.

[nadinbrzezinski]

23. Yes but he was making another point

and it goes into the paradox of thrift, which is what he was talking about... the instalbity is adding to it, not helping it.

[Horse with no Name]

8. Not only that

but with subsidies and tax breaks...they are making nearly as much money not doing anything than they would be if they were business operational...without all of the headaches of hiring, firing, benefits, etc.

[EstimatedProphet]

2. No

Corporations are holding onto money because they want to see Obama fail, so they're crashing the economy. People are holding onto what money they have because they don't have any to speak of.

[nadinbrzezinski]

4. He was not talking about Ford, but you and me

[EstimatedProphet]

19. Then I guess he's wrong.

[closeupready]

5. This.

End of thread.

[joeglow3]

17. I am doing what Cramer said.

We have been fortunate to not have been affected by anything....yet. Thus, we have been hoarding everything we can, in the event it catches up to us.

[closeupready]

6. I'm not sure I understand Cramer's logic.

To look at spending on the surface, consumers don't see how well DC is working prior to making purchases. Maybe really big puchases, but not most purchases.

If you need something and you have the cash (or credit), you'll buy it. How does DC's dysfunctionality/corruption figure into the consumer's spending?

[nadinbrzezinski]

9. We should be fixing a bathroom, we expect the

dysfunction to make things worst, we ain't fixing it...

That is a major ticket item by the way.

And I have talked to several people around here, who are holding to older cars due to the same reason.

[Lone_Star_Dem]

11. I didn't see what he said, but I could agree the dysfunction in DC is causing economic issues

Which in turn are causing events the average person can see and become spooked by. Such as, unemployment, repossessions, S&P downgrade and the volatility in the Markets, to name a few. These events cause some people to loose their confidence in the economy and not make any purchases they don't absolutely have to.

[phantom power]

7. I think that is a slightly sideways -- consumers are not spending money...

because they either don't have it, or are afraid they won't have it. Because unemployment is 9%.

Corporations are holding onto money because they see consumers aren't spending -- "it's the demand, stupid."

Now, I think it's fair to say DC is completely failing to fix any of this because they either don't have the political will for an actual jobs program, or they genuinely think that pushing on the supply-side economic string is going to work if they just keep clapping hard enough.

But I don't think that people spend, or don't spend, because they look at DC. They spend or don't spend by looking at their wallet, and their paycheck (or lack of).

[RedCloud]

10. Even Murdoch's puppet, WSJ, reported over ten trillion is hoarded worldwide

It's like we are watching Zeus playing a game with us while we starve.

[cayanne]

12. We're not spending money either

We don't have it to spend. The economy is terrible and gas and food are way too high.

[Lone_Star_Dem]

14. I've noticed this trend locally since 2008

I, however, curbed my spending and increased my savings back in 2005 when I saw this shitstorm coming.

[JVS]

15. Consumers are holding onto money because they are broke or they fear corporations...

cutting off their income.

[boston bean]

16. most people have no extra $$ to spend. Tell that to Jimmy Cramer...

[EstimatedProphet]

18. Cramer wouldn't listen because they really don't count as people in his eyes.

[JohnnyRingo]

20. Yet the average worker spends about 98% of his paycheck every year.

It's not like we have a choice to either eat and live indoors or invest in commodity stocks.

[Odin2005]

21. If Cramer says to do something, do the exact opposite.

[Lisa D]

22. Wise words n/t

Cramer is an idiot.

[nadinbrzezinski]

24. He did not say do it

in fact, if he told me to hoard cash I'd think he is stupid. He said people are doing it.