Economy in bad shape?

It seems that the Fed and government in general are very nervous about the state of the economy. First off, there is devaluation of the dollar which causes oil/gas prices to increase-inflation. The Fed knows this yet they are still willing to drop rates significantly which to me indicates that the alternative is much worse than currency devaluation. Next, there is the fire sale at Bear Stearns. The Fed, Sec. Paulson and Chase all get together to save this company. The Fed also opens the loan door to investment banks. I read an article in the WSJ that the Fed/government haven't been this involved in the economy since the Great Depression. It seems to me that the Fed and government believe they are looking at a slippery slope in the credit markets. The reason Bear Stearns goes along with this slippery slope fear. Am curious if people agree or disagree with this and the opinions they may hold.

It is the worst situation the US economy has been in since the Great Depression. The banks are doing everything to stave of a recession. What there is to fear is fear itself. If people start pulling out of the markets and stop investing then a financial black hole will emerge. people pulling out of the economy is the reason gol is so expensive now, from $80 and ounce to $1000 and ounce! All because gold wont collapse. This is where the smart money has gone. Credit is stretched as thin as it gets (the new rate is 0% when inflation is taken into account, it cant get any lower!)

In the UK the Bank of England admitted *yesterday* that there was a VERY bad spell coming and to brace ourselves. You'd think the credit crunch happened yeasterday! Obviously they are doing everything in their power to minimise the impact. 99% guarneteed that the economy is in decline in the US, EU and UK, it is how we weather the coming storm and who end up on top in the end that is all there is left to manage.
Last week the US economy dropped to the second largest economy in the world after the EU. With EU currency so strong it is an ideal opportunity for the UK to filch EU markets.

Many analyists believe we are literally running on false hope, but dont tell anyone! Soon as word gets around things really will turn sour!

The economy is in the worst shape it's been in since World War II. The Fed./gov. has been doing the few things available to them to stop a depression.

The US, and a lot of the world, is in pretty bad shape. The Bear-Stearns deal and some other recent actions are only a temporary band-aid. The public is asleep on this one. When the economy goes in the tank, they're going to be shocked awake.

We are on the verge of a total stock market meltdown and the worst economic depression in the history of the US. It will be years until we come out of it. We will never be the ecomomic power we once were. It's O...V...E...R.

In the coming years guns will be the new power in the US, not money. Take what you want by force.

Theres no such thing as bad economy!!! theres bad people that for a fact, theres bad planning bad decision, and unproductivity. as long as theres people working very very hard economies is bound to flourish, I mean I for one is very very disappointed on how business are faring up, but see theres the, bad shape or not, business should bring out the best in you, especially if you founded it if your just a watcher or just an accountant your slowing it down or the very founder is dumb enough to watch you count and stop managing his business. I mean your already aware! so whats stopping you from doing something? common get a grip, and start things around. grab whatever opportunity comes your way, you know already that theres a problem so dont wait for it to affect you, otherwise your screwed. if it plummets down and your without a lifeline, youll be waking up one day naked!!! gov is easier just to money making projects like the deppression era, projects thatll move money!! if theyre in excess take from there and get it moving here so that one day you could pay it back with interest, and the one you built will for sure already making money!