No More Free Money

The Federal government had been offering an $8000 tax credit for anyone buying a new home. This was done in an attempt to reignite the housing market....and most folks thought that it had done that...announcing that the worst may behind us as far as home purchases goes.

But once the free money was gone...it appears they may have been wrong.

WASHINGTON -- Sales of new homes collapsed in May, sinking 33 percent to the lowest level on record as potential buyers stopped shopping for homes once they could no longer receive government tax credits.

See it here; http://www.washingtonpost.com/wp-dyn/content/article/2010/06/23/AR2010062301762.html

Did you catch that sentence, "Lowest level on record"?

What a pickle. People refuse to buy anything unless the government gives them free money...and the government doesn't have any money to give....so they just keep selling IOU's to any investors that will buy them...knowing full well that we are drawing closer and closer everyday to the point of no return....when all the taxes collected in the USA simply won't pay the principal and interest payments on the mountain of debt they have rung up.

The world needs a savior. The problem for the world is that when he comes....he will be the Antichrist....and they will accept him because he will have a recipe that promises to pull them out of the pickle barrel.