wrote in message
...
On Sat, 11 Sep 2010 10:08:45 -0700, "nom=de=plume"
wrote:

You didn't even read the article. Inventories are up. Buying is
sluggish,
but the seven month rise in inventories is a very good sign, as much
as
you'd like to think otherwise.


Huh?
I was curious about your first comment on this but rising inventories
is not a good thing. That is "built and unsold".

They have more product on the shelf gathering dust than they can sell.
It means they are ready to shut down the line.

Well, you'd be wrong. Manufacturers don't make more of something without
the
likelihood the somethings are going to sell. If you had read the
article,
you would have read that they're right where they should be. Rising
inventories are a good thing.


Not if they are not moving. Perhaps you should have taken some
business courses, or run a lemonade stand. Rising inventory means
supply exceeds demand.

So, you're claiming that manufacturers are just stupid? Why do you think
they would keep making things if there was no hope of selling what they
make. Do you not understand that there's sometimes a lag in making and
selling?

Feel free to start with insults. I've got an MBA and I've run a lemonade
stand. What have you got?


Some basic understanding of business. You don't even realize the
article you linked was a negative assessment of the industry.
I don't think you actually read the stuff you post. You certainly
don't seem to understand what they are saying. You had the tax rebate
thing totally wrong and now you are wrong about the thrust of the
inventory article you linked.
When some people screwed up and built more than they could sell that
signals bad times are coming not good times. If the warehouse if full
and nothing is moving, they shut down the line. Supply has exceeded
demand.
That should have been day one of your MBA school.


Nope. You're just wrong. Let's take your implied insult about a lemonade
stand. Do you think it would be a JIT business model? According to you, if
someone drives up, I would immediately build the stand, grow the lemons,
harvest the sugar, form the pitcher, glasses, and spoon (stirrer), then
before they can actually drive away, post the sign with the price, make sure
change is available, consider whether or not to accept foreign currency, be
prepared to negotiate prices, etc., etc.

I guess you missed this little item in the article:

"Businesses restocking depleted store shelves has been a major driver of the
economy since late last year and the strong gain seen in July should help
alleviate fears that the country could be in danger of slipping into another
recession."