Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : PRESIDENT GEORGE W. BUSH -- Ignore unavailable to you. Want to Upgrade?

To: JakeStraw who wrote (423802)	7/7/2003 1:14:33 PM
From: Kenneth E. Phillipps	Read Replies (1) \| Respond to of 769670

Slow going expected - From Christian Science Monitor Most of the economic numbers released this month are not expected to be much better. The nation's gross domestic product (GDP) probably grew at a lowly 1.2 percent rate in the second quarter. And July unemployment probably won't improve because it will reflect layoffs of government workers from cash-poor state and municipalities. "I think the attention is being shifted from geopolitical to pocketbook issues," says Sung Won Sohn, chief economist at Wells Fargo Banks in Minneapolis. Over the next several months, the public will also hear more about natural gas shortages. The Department of Energy will soon release recommendations on ways to prevent higher prices and potential shortages this winter. They could advise people to cut back on their use of air conditioning this summer. And economists don't expect a major pickup in the economy - such as a return to 5 percent growth rates - any time soon. Mr. Silvia attributes this to structural changes reverberating through the economy. Now, when demand picks up, many companies will meet it by boosting productivity instead of hiring workers. There is some evidence of this in the latest unemployment report. High school and college graduates are having a lot of trouble finding work. The unemployment rate for 16- to 19-year-olds is now 19.8 percent, up from 18.5 percent last month. "It probably doesn't matter for Bush," says Sohn. "If [teenagers] vote, they probably won't vote for him anyway." However Doherty says the public is waiting to see how the economy develops. "If things don't get better, obviously we could see more middling ratings for Bush," he says. "If things get worse, then he's got a real problem." csmonitor.com