As has been the case for the last ten years or so, the U.S. economy continues to grow at a rate that has failed to meet expectations. The recently released numbers from the Commerce Department show GDP growth is at only 2.3 percent, significantly below the expected 3 percent being looked for.
It has been a full decade since the last time the GDP has grown above a 3 percent rate, making it the weakest recovery in about 70 years. Economic growth hasn't surpassed the 3 percent mark since 2005, according to the Commerce Department.
more on U.S. economy
Showing posts with label GDP. Show all posts
Showing posts with label GDP. Show all posts
Tuesday, August 4, 2015
Thursday, June 25, 2015
Ghost Cities, Ghost Malls and the Silk Road: Why China Needs Entrepreneurs
Even though the official numbers from China's National Bureau of Statistics suggest consumption is moving steadily along, accounting for 51.2 percent of GDP, and following on the heels of the 12 percent boost in retail sales in 2014, there are questions these numbers may not reflect the reality on the ground.
It has been pointed out that "private surveys and results from consumer product companies" paint a different picture; one that draws the conclusion that consumer spending has been level or contracting.
Other data contributing to this as being the likely scenario are the PPI in April dropped for the 37th month in a row, and manufacturing in China, with a 49.2 reading in May (-4.6%, missing analysts expectations of -4.4%), confirms it is contracting faster than believed.
The point is the decisions and proposed spending actions and focus of Chinese economic leadership reinforces the strong probability China is struggling to not only grow its economy, but to keep it from contracting.
read more ...
It has been pointed out that "private surveys and results from consumer product companies" paint a different picture; one that draws the conclusion that consumer spending has been level or contracting.
Other data contributing to this as being the likely scenario are the PPI in April dropped for the 37th month in a row, and manufacturing in China, with a 49.2 reading in May (-4.6%, missing analysts expectations of -4.4%), confirms it is contracting faster than believed.
The point is the decisions and proposed spending actions and focus of Chinese economic leadership reinforces the strong probability China is struggling to not only grow its economy, but to keep it from contracting.
read more ...
Thursday, February 28, 2013
U.S. Economic Growth Stalls in Fourth Quarter
The anemic economic growth in the U.S. for the fourth quarter of 0.1 percent underscores the fact there is little or no momentum going forward, in spite of the media outlets already trying to spin it as a positive move forward.
Taking into account the gross domestic product data point to no real growth, missing the estimated 0.5 percent growth analysts had been looking for, again, confirms we are a long way from a healthy economy; both in the U.S. and the world.
Every time these types of numbers come out and explode the recovery myth, there are always those that say if it wasn't for this factor or that factor things would be healthier economically. You don't say. They're right. If report after report shows there are specific, but different factors hampering the economy, that means there are multiple reasons for slow or little growth, not alleged unique factors that are only a temporary drag on the economy.
Juggling few numbers actually made the 0.1 percent growth data happen, as the original numbers revealed there was a contraction. The government changed the export and import numbers to get the positive, albeit irrelevant growth. It's been two years since growth was this slow in the U.S.
The spin this time around is the slowdown came from inventory accumulation and a big cut in military spending. Presumably all that is going to go away in the first quarter of 2013.
Even the idea that terminology in the mainstream media say that optimism may be down some because of the slow pace of the recovery. Recovery? GDP of 0.1 percent isn't a recovery. And when you include the fact that the government massaged the numbers in order to ensure there wouldn't be a contraction reported, it is even worse than is being reported.
Original estimates were the economy had contracted by 0.1 percent. Those are probably the more accurate numbers, and should be assumed to be so by investors.
Even the employment numbers are being spun as positive, even though the jobless claims are just about the same as in 2007-2009 recession. How can that be construed as a recovery in any way? It can't. It's a lie, and we need to take that into consideration in our decision-making.
Taking into account the gross domestic product data point to no real growth, missing the estimated 0.5 percent growth analysts had been looking for, again, confirms we are a long way from a healthy economy; both in the U.S. and the world.
Every time these types of numbers come out and explode the recovery myth, there are always those that say if it wasn't for this factor or that factor things would be healthier economically. You don't say. They're right. If report after report shows there are specific, but different factors hampering the economy, that means there are multiple reasons for slow or little growth, not alleged unique factors that are only a temporary drag on the economy.
Juggling few numbers actually made the 0.1 percent growth data happen, as the original numbers revealed there was a contraction. The government changed the export and import numbers to get the positive, albeit irrelevant growth. It's been two years since growth was this slow in the U.S.
The spin this time around is the slowdown came from inventory accumulation and a big cut in military spending. Presumably all that is going to go away in the first quarter of 2013.
Even the idea that terminology in the mainstream media say that optimism may be down some because of the slow pace of the recovery. Recovery? GDP of 0.1 percent isn't a recovery. And when you include the fact that the government massaged the numbers in order to ensure there wouldn't be a contraction reported, it is even worse than is being reported.
Original estimates were the economy had contracted by 0.1 percent. Those are probably the more accurate numbers, and should be assumed to be so by investors.
Even the employment numbers are being spun as positive, even though the jobless claims are just about the same as in 2007-2009 recession. How can that be construed as a recovery in any way? It can't. It's a lie, and we need to take that into consideration in our decision-making.
Friday, August 27, 2010
Bernanke Says He'll Continue to Hide Recession
When Federal Reserve Chairman Ben Bernanke confirmed what he's been saying all along concerning the ongoing recession, that if it continues, he'll be ready to do what it takes to attempt to combat it, he was essentially saying he's going to continue to mask or hide the recession that has never left.
After all, how can anyone justify spending $1 trillion with no results, and then reiterate they'll do it all over again?
Some headlines after Bernanke's speech were strange, as they even went so far as to say he "soothed" the markets. That's right. Old gentle Ben has everyone feeling good that he's going to continue to attack the country through exploiting the generations ahead who'll have to pay for his "soothing" actions; which of course they won't be able to afford.
The reason the economy is sputtering is because the original stimulus is running out of steam, and the real economic condition is simply revealing itself again.
This is why I say Bernanke is in reality saying he's going to continue to hide the recession by providing more "stimulus." Some economic commentators have went so far as to say it's not worth the effort unless another $1 trillion at least is thrown into the economy.
The major way Bernanke and others hide that there's a recession is because the money they throw into the economy is counted as gross domestic product, so they can skew the numbers how they want - in the short term - to make it appear there is real growth.
But as we're learning now, once that money goes through the system, the nakedness of the economy is revealed, and it's not a pretty picture.
We, our children, and our grandchildren will be stuck with the burden of this outrage, just so the government and Federal Reserve can appear to be doing something constructive, when they're in fact a destructive force against the free markets, saddling all of us with a debt so they can make it look like their economic theory works, when it has been the major reason for ups and down of the economic cycle in the first place. Thanks Ben.
Oh yes, the Commerce Department downwardly revised the gross domestic product annual rate from 2.4 percent for the period of April to June, to 1.6 percent.
After all, how can anyone justify spending $1 trillion with no results, and then reiterate they'll do it all over again?
Some headlines after Bernanke's speech were strange, as they even went so far as to say he "soothed" the markets. That's right. Old gentle Ben has everyone feeling good that he's going to continue to attack the country through exploiting the generations ahead who'll have to pay for his "soothing" actions; which of course they won't be able to afford.
The reason the economy is sputtering is because the original stimulus is running out of steam, and the real economic condition is simply revealing itself again.
This is why I say Bernanke is in reality saying he's going to continue to hide the recession by providing more "stimulus." Some economic commentators have went so far as to say it's not worth the effort unless another $1 trillion at least is thrown into the economy.
The major way Bernanke and others hide that there's a recession is because the money they throw into the economy is counted as gross domestic product, so they can skew the numbers how they want - in the short term - to make it appear there is real growth.
But as we're learning now, once that money goes through the system, the nakedness of the economy is revealed, and it's not a pretty picture.
We, our children, and our grandchildren will be stuck with the burden of this outrage, just so the government and Federal Reserve can appear to be doing something constructive, when they're in fact a destructive force against the free markets, saddling all of us with a debt so they can make it look like their economic theory works, when it has been the major reason for ups and down of the economic cycle in the first place. Thanks Ben.
Oh yes, the Commerce Department downwardly revised the gross domestic product annual rate from 2.4 percent for the period of April to June, to 1.6 percent.
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