Chuck Hanson said:
In my line of work (commercial building construction) their is no recession. We have over a years worth of work on the books with more prints/bids to make with buildings that are in the 1-2 year building slot away.
We need more cranes that the manufacturers can’t supply…all North American crane builders have machines sold 1-2 years in advance. Order a new Manitowoc Model 2250 crawler crane rated at 250 ton with a 3.5 million dollar price tag and you might see it in the last qtr. of 2010.
The only economy slowdown that I see is that the housing market got all caught up in itself…which btw is no big suprise. Why folks figured that if they could afford a 250k home from bank A but bank B has the same deal on a 800K loan is beyond me…but liberal thinking says that if we hollar loud enough the govt. will bail us out.
Dejavu of the Clinton era loan scandals??
I’m not sure how this thread went from an announcement of Marklin’s price increase to 911 conspiracy theories, and now to the economy and politics, but I have to comment on your statement.
I work for a real estate developer / property manager / general contractor in New England. Our last project, a 5 story 115 unit apartment complex was completed last summer and partially due to skyrocketing costs of steel, copper and oil, went almost 50% over budget. We had two other projects in the queue to start immediately after the apartment building was finished - one was much larger (500 units) and the other significantly smaller. In August 2007 the banks began to pull back on construction financing, even paying huge penalties to cancel loans that had been committed, but not disbursed. This was a direct result of the sub-prime fiasco. Because of the skyrocketing costs, uncertainty in the resale Real Estate market and uncertainty in the banking world, we decided to stand down on all construction projects. Our sites now stand empty burning cash in taxes while we wait for signs that the trends are bottoming out. We are beginning to see a little light, but we’re still not ready to ramp-up construction.
I don’t disagree on your take on the mortgage industry. I’ve thought for years that banks were irresponsible in offering ARM and balloon mortgages to unsophisticated borrowers. The current administration allowed it, and now we pay.
The construction industry might be good in your area, but it is not necessarily representative of the entire country.
BTW - ultra conservatives Newt Gingrich and Rush Limbaugh are nearly ready to throw in the towel and support Clinton. Newt said this morning on GMA that he was considering donating to the Clinton campaign and Rush said yesterday ‘at least with Hillary we know what we are going to get’.
Oh crap - I wasn’t going to get into this political stuff. Now I’ve stepped in it
Jon