So, I put this at the top because most people don't bother to scroll all the way down to see if there is anything new.

** UPDATE**

Okay, so, gas prices are still sky-high, house prices are dropping (good for buyers, bad for sellers), mortgage rates are steady for the time being ('cause most people can't afford a new house or are not taking the plunge just now), emplyment is still down... what's the update?

Well, if you've read the news recently, it's finally coming to head that oil prices truly aren't the cause of sky-rocketing gas prices and inflation isn't the cause of ever-increasing groceries. No, really?

The government is watching the oil companies... please, watching! Come one and do something! Because they have crazy profits (Ya think?) that they can't explain.

And speculators (thank you for those traders!) are driving up the cost of oil more than necessary (because it wasn't high enough as it is!) and other commodaties.

And with the US being so shaky, our dollar just keeps plummeting.

What can we do? Well, sadly, unless EVERYONE does something together, there isn't a whole lot you can do right now. However, you can use your vote as your voice this fall and let the politicians know enough is enough. Many are finding out they need to do SOMETHING or else they will be out of a job. Keep the letters and calls and emails going to your local and state politicians and we might see some change... some time this year.

In the meantime, save the money you can, spend wisely and hang on as best you can.

A quick recap with the major points of how and why the US economy got where it is.

First of all, there's the ever increasing gas prices. Yeah, they are killing us all! My husband drives a tractor trailer... let me tell you 6 - 8 miles per gallon at over $4 a gallon is really shooting holes in our profits! But how did the gas prices get so high? Well, I like to relate the oil companies with a school-yard bully. First they said we have to raise prices because of reason "ABC". It didn't matter what the reason was, we all went, "Oh, okay." Then to prove it was only a temporary thing, they dropped prices.

So, what's the big deal? Here's the catch -- they raised prices $.10 a gallon and dropped them $.05 a gallon. But most people were happy they dropped the prices at all, they didn't complain. So, that went on for quite some time. And everybody just said, "Well, they HAVE to raise prices because of 'ABC' and 'XYZ' and '123'. They had to, they didn't want to.

UH HUH -- SURE! And I've got a great bridge in Brooklyn I'd like you to look at.

Well, eventually America woke up and said "WTF? What happened? How did gas prices get so high?" Well, while we weren't paying much attention, oil companies had sky-rocketing profits for a few years.

So, now that's where that sits. I have heard lots of ways to get around gas prices, but facts are simple: supply is up, demand is down and yet prices are not coming down. Simple supply and demand isn't working for them because all the oil companies are in it together and (pay attention here) there is NO alternative. That, right there, is the kicker. And until we have a GOOD alternative to using so much oil, we will be faced with high prices.

Luckily for us, the car companies have heard us and are beginning to put out hybrids. Sadly, raising MPG really isn't going to do anything, we've got to have more vehicles that will run on something other than oil.

So, gas prices - oil prices are a big hurt on the economy. But they aren't the whole problem.

The next aspect comes into play when we factor in unemployment/underemployment. Problem is that NOW (Thanks GW) companies can produce most of their products overseas, bring them back here to the US to sell and STILL claim their made in the US. Pay no import taxes, pay no duties or fees. So, US factories are closing left and right while the businesses are BOOMING because they are saving money by having products made overseas where it's cheaper.

With unemployment rates rising, the gas prices are hitting Americans harder too. Yeah, it's all a big cycle, and we've only touched the surface.

What's that? Unemployment rates aren't high? OH, you mean those figures that are spouted on the news. Well, here's the catch with those figures (yeah, it's the government, there's always a catch!) -- let's say you are laid off... So sorry! Now, the government gives you about half a year's worth of pay. There now feel better? What about in months 7,8,9... ? No money coming in from the government even if you don't have a job. That's where those numbers come from. If you are past the six months pay, you are no longer "unemployed" -- oh you may not have a job, but you aren't "unemployed." That's how the numbers aren't quite right. Me for instance. I'm not unemployed. But I haven't worked away from home in more than 6 years. Nope, not unemployed here.

So, gas prices and unemployment. YUCK. Is there more? Sadly yes.

The next happened with mortgages. You see, there was a huge housing boom... yeah, cookie cutter houses popping up EVERYWHERE. And everyone wanted a piece of the American pie. Now, don't get me wrong, I do not blame them at all for this. Problem arose when some shady lenders twisted the he** out of some figures here and there so some not-quite-credit-worthy folks could get into their dream houses.

Now, my husband and I make a good living. However, we cannot afford to run out and buy a $2 million house simply because we like it. So, these folks got suckered into buying houses WAY above what they could afford. Then there was some fine print about an ARM... hmm... what's that? ... no don't worry about that, just sign here...

Yeah, I imagine that's kind of how it went down. So, these poor unsuspecting folks get smacked and smacked hard as out shaky economy starts to fall. Now there are houses sitting empty because the shady lenders have had their hands slapped (or worse) and houses that are facing foreclosure because its owners are facing unemployment or too-high rates.

So, as if gas prices, unemplyment and the housing situation (which I doubt still qualifies as a "slump")weren't enough, sadly there is more... plenty more.

One of the biggest problems we are seeing is how little the US dollar is now worth. As our debt grows larger, our worth is growing smaller and smaller.

Some have noticed this with our imports -- including oil. Sometimes it isn't "other" people raising the prices of oil, it's simply that what it's worth on the world market is more when compared to the US dollar. Hence, our imports are costing us more and that cost is then passed onto us.

The cost of groceries is skyrocketing as well. One of the reasons is the high fuel costs (costs to produce and distribute). However another factor is the higher prices of wheat, soybeans, corn, etc. Some of it is a side effect of fuel costs (again, costs to produce and distribute). Some is also a secondary side effect. As we work on other fuel alternatives (such as soy or corn bio-fuel) the costs of these products for food increase because the supply is being divided.

In order to "fix" your situation -- or help your situation -- you need to identify WHERE you are.

Are you unemployed (or without a job even if you are not considered unemployed)?

Are you facing foreclosure or other credit crisis?

Are you simply a poor, unsuspecting average Joe/Jane that is drowning in high costs that are swamping us?

Sadly, I can't help a whole lot with #1 or #2. I can offer ways to help save money. But I can't offer miracle solutions to stop a foreclosure or find you a job. I will warn of one thing -- don't buy into someone offering miracles. There aren't any overnight solutions, there aren't any miracle get rich quick schemes that will save you. However, there ARE avenues that you can look into and I *strongly* suggest you look into that.

I wish the economic outlook was brighter. However, as it stands, we have a president who refuses to see where we are financially (as a nation and as people) and not much happening to help out.

So, in the meantime, I'm here to offer some solutions to help save money. It may not be a lot of money, but it DOES add up. Hey, if you can save $30 a month on your electric bill, $30 a month on your gas bill and $40 a month on groceries, that's an extra $100 a month! That can help cut down credit card debt (or mortgage debt)or buy more gas or groceries.

Read about some money saving tips.