re: #326 Dark_Falcon

As I said, forget about major recovery until businesses are more certain of conditions. The toxic asset issue is still an issue, though it’s been reduced, and the political fighting in Washington also makes businesses nervous. Facing an uncertain tax and regulatory environment, most are choosing to just sit on their cash for now.

No, Dark. It’s not the tax or regulatory environment. It’s mostly uncertainty about the actual market, i.e., consumers, and the fact that we’re cutting spending in the middle of a recession, which means the recession will deepen and consumer spending will go down.

The blackmail over the debt ceiling has scared the shit out of everyone, because the GOP is putting politics way ahead of the economy or the deficit on every level. If they were honestly going after the deficit, that’d be one thing, but instead they’re just reducing spending, mindlessly.