So..... is it over?

I think that things have improved a little since Christmas on the Reefer side, Even in an economy that blows people still have to eat.

Miles are slowly picking up, well they are at Central I don't know about any where else.

 

I think you may be right, PharmPhail. I, for one, am not a fan of the stimulus package, BUT... There's no doubt that it will increase freight in the short term. As the government spends money (that it's printed out of the air) on infrastructure, it will naturally create a large demand for the supplies needed to construct the infrastructure. Many companies are probably already bolstering inventory in anticipation of this.

I am concerned about the long term implications of spending money we don't have, (i.e. hyper inflation, massive tax increases, etc.) but the freight will certainly rebound in the short term. And I think it was John Keynes (the man whose economic theories have clearly been adopted by the ones who've crafted these bailouts) who said, In the long run, we're all dead anyway. So I doubt there's much consideration given to the "long-term" implications of this "spendulus" plan.

Andrew

 

Yep, Adam Smith is hogtied in the closet. we're definitely operating under Keynesian principles.

 

I've cut back on beef and things like OJ, ham, frozen stuff, and several other things that deliver on reefer. The prices go up every week, so I cut down, plus the fact that I am back on the road means less meals at home, and I eat less when I'm driving.

If everyone does like me, I can see reefer freight slowing down.

 

Some of this has to do with the yearly freight cycle... January and February are uniformly bad in a good economy or a bad one. Compared to last year, things slowed down early IMO because of the uniformly bad projection for holiday sales, early shutdown of the auto plants, etc.

Don't know if it's started to heat up yet... I haven't really seen an increase over here yet. Someone made a good point on Roaddog the other day... today's "stimulus package" is no different than when Eisenhower "primed the pump" with massive government spending on the interstate system. It did launch the post-WWII economic boom that lasted into the 80's/90's. Considering just how bad some of the roads are, that "infrastructure spending" ain't exactly a bad thing. Just had the shocks replaced on my steers...

As far as printing money out of air goes, haven't we always done that? The Fed has no real assets, and they get to print the money! And the Paulson/Bernacke show was working that printing press overtime last year. The current administration is making the right noises about cutting the deficit down the line - so we'll see.

 

The problem with fixing the highways is that they sometimes do a crappy job that it doesn't last long. When it comes to technology on improving the roadways I don't
think we have come far at all.
As for the bridges,thats another scary thought.All this work is going to cause major backups and pollution and heated tempers.
In florida they cut out sections of the concrete hwy,put new rebar in and the new cement,the result was a "rollercoaster" type of ride..uneven and kidney jarring in places.
All this should have been done from long ago....now we find ourselves in a race to fix it all,especially the bridges and overpasses.