"Consumer spending, which accounts for 70 percent of the economy, ..."
this figure points out how lopsided our economy is toward consumption, as opposed to investment and saving
just as important, it points to where govt stimulus packages will attempt to forestall a recession
they will assist consumers in their continued consumption and spending
just like the 2001 federal tax rebates, the focus lies squarely on the lowend and consumption sides
if they wanted to fix the economy, they would provide a massive tax break for the future 5 years in tax returns for any citizen declaring bankruptcy
our entire economy has become dependent on consumption in a lopsided, distorted, sick, and unsustainable fashion
and we depend on foreign capital to sustain those levels
wow, is this system primed for a severe correction!!!
economists missed by 33% in their forecast, expecting 2.4% GDP, getting 1.6%
if I missed that much when forecasting at Staples in the late 1990's, I would have been fired immediately
I also find it absurdly irresponsible that nowhere in this report is ANY MENTION of rising debt levels, from very very high to even higher in the last year, which is crippling the entire economy
but then again, what can one expect from inept economists ???
look out ahead: 2nd Half Recovery
/ jim |
