Tag Archive: Economic Growth


The Economy’s Worst 8-Year Run In 62 Years

 

8yearGDPgrowthPostWW2to2014

 

 

 

” A couple of publications have noted that 2014 was the ninth consecutive year during which the U.S. economy grew by less than 3 percent.

  They’re being too kind. Last year was the eighth year in a row of sub-2.5 percent growth, following four straight years (2003-2006) of higher growth.

  It’s hardly a coincidence that the first year of that awful 2007-2014 streak just so happens to have been the same year that the Democratic Party took legislative control in Washington.

  The nation’s political and media elites were quite pleased with themselves when the November 2006 elections brought about that result, largely because their daily hostility to all things Republican and/or conservative contributed mightily to it. They were absolutely ecstatic when Barack Obama, Mr. Perfectly Creased Pants, won the November 2008 presidential election and took office in January 2009.

  As will be seen shortly, the former event marked the beginning of the U.S. economy’s worst eight-year stretch since 1945-1952. Obama’s presence in the Oval Office until January 2017 virtually ensures that we’ll have at least two more years of the policies which brought on that miserable result.”

 

Read on at PJMedia

 

 

 

 

 

 

 

 

 

 

 

 Why Hillary Clinton Would Be A One-Term President, According To Peter Thiel

 

 

 

 

   The genius behind PayPal , Peter Thiel , speaks with Glenn Beck on the foolish monetary policy bankrupting America and the likelihood of a Clinton presidency being a one term affair .

 

 

 

 

Rational Thinking About Irrational Numbers

 

 

 

 

” I am drawing this reference from this article from someone who I look up to and admire – Dr. Roy Spencer.

  In the last 100 years, the amount of CO2 in the air has increased from three molecules per 10,000 molecules of air, to four molecules out of 10,000 molecules of air.

  Which means we are being asked to believe the increase of one molecule of CO2 out of 10,000 molecules of air in the last 100 years is causing catastrophic climate change that threatens mankind.

  This is all fascinating to me, given Secretary of State John Kerry’s comments on the immense threat of a catastrophe based on out of control climate, when we have groups like ISIS and Hamas running around.

  But let’s really put this whole CO2 scare (scam) in perspective, okay?

  Here is the infamous hockey stick graphic (see above), the last 50 years of warming based on the most reliable temperature measurements versus tree rings that decided to show cooling instead of warming. This, of course, has stirred up the angst of Dr. Michael Mann when people suggested there was something very wrong with switching the way one measured temperatures after 950 years when that way no longer agreed.

  Now here is the real hockey stick, the increase in GDP per capita since the coming fossil fuel age really took off over the last 100 years. “

 

 

” That is a real correlation. No switching measurement horses midstream. During the time of the increase of one molecule of CO2 per 10,000, earth’s per capita income went up. And think about how many more people there are now against 1900.

  But let’s look more closely at this in the U.S., since we naturally want to lead the world to a brighter tomorrow. “

 

 

Continue reading

 

 

 

 

 

 

 

 

 

 

 

They Screwed Up The Shutdown, But Republicans Are Right To Insist That Any Increased Borrowing Today Should Require Spending less In The Future

 

 

 

 

 

” Can anyone other than doctrinaire Democrats and members of his immediate family keep a straight face when President Barack Obama insists that he is “prepared to negotiate on anything” while simultaneously saying that “until we make sure that Congress allows Treasury to pay for things that Congress itself already authorized, we are not going to engage in a series of negotiations”?

Reining in the national debt is not an accounting fetish, especially when we’re talking about being in the hole to the tune of 100 percent of GDP when it comes both to debt held by the public and intra-governmental IOUs. Sustained and massive levels of debt foist obligations on future generations via future taxes and inflated currency; they also correlate with slower average economic growth. Indeed, even critics of the influential “debt overhang” thesis propounded by Carmen Reinhart, Kenneth Rogoff, and Vincent Reinhart grant that “the average real GDP growth rate for countries carrying a public-debt-to-GDP ratio of over 90 percent is…2.2 percent,” an amount actually below what Reinhart, Rogoff, and Reinhart found in a 2012 paper detailing debt’s correlation with reduced growth. Debt has a habit of spiraling out of control and thus “fragilizing systems,” as Nassim Taleb puts it. When an increasing amount of your income is going to pay down loans taken out by your dead grandparents for stuff that was gone before you were born, you’ve got less cash for your own future.

 

 

 

 

 

 

 

 

 

The Economic Situation June 2013

” The US economy is creating new wealth and growing employment, albeit at a slow pace. But uncertainty is the key word that describes the economic situation at mid-2013.There are major unknowns with respect to Fed policy, taxing and spendingthe effects of the Affordable Care Act on employment, the implementation of Dodd-Frank financial reform, regulatory policy affecting the production of electricity, and the prospects for Europe’s recovery from an extended recession. Add to this pallid picture reductions in growth in China,India, and the developing world taking some of the edge off the global boom, which, in spite of that growth haircut, is still tugging away on America’s export growth.

With the closing of the books on the 2012 economy, real GDP growth registered 2.2 percent. But the current picture suggests we will be lucky to break 2.0 percent in 2013 and a bit more in 2014. This compares with the results of the Federal Reserve Bank of Philadelphia’s Livingston Survey in December 2012, which predicted 2.1 percent growth in 2013’s first half and 2.3 percent in the second half of the year. It will be a while before Livingston speak again, but right now, Economy.com’s dynamic GDP growth meter indicates the economy is expanding at 1.8 percent.

As Goldilocks might put it, “It’s not just right.” Not by a long shot. We can see images of the slowdown in the Institute of Supply Management’s indexes for the manufacturing and non-manufacturing (service) economies shown below. Both indexes are headed south of the border. Recall that 50 is the magic number that coincides with zero growth.”

” Now the bad news. Consider the next chart. It shows in nominal terms the level of federal receipts and expenditures for 1Q 1990 through 4Q 2012. Even with progress being made, there is a yawning gap waiting to be closed.

If the gap is to be closed, there is no doubt but that it will take more revenue and less spending. But when it comes to getting revenue, there is a never ending political debate regarding tax-rate fairness and which taxpayer income group, if any, should pay the higher or lower tax rate. (After all, there could be a flat tax.)There is hardly any discussion of revenues, which seems odd, to say the least.

But of course, there is reason to be concerned about fairness. People understandably rebel when they perceive they are being treated unfairly by government. (Consider the current IRS controversy.) But if revenues are the chief concern, then how much revenue is collected may be an equally important consideration when politicians talk about taxes.

Writing in 1924, treasury secretary Andrew W. Mellon said this about the political manipulation of rates:

   I have never viewed taxation as a means of rewarding one class of taxpayers or punishing another. If such a point of view ever controls our public policy, the traditions of freedom, justice and equality of opportunity,which are the distinguishing characteristics of our American civilization, will have disappeared and in their place we shall have class legislation with all its attendant evils. The man who seeks to perpetuate prejudice and class hatred is doing America an ill service. 

But why pay attention to the thoughts expressed by Andrew Mellon? Does he have credentials that command attention? Yes, indeed. As Secretary of Treasury during the Harding, Coolidge, and Hoover administrations, Mellon led a successful effort to reduce the size and debt of the federal government. In the earlier part of his government service, the nation was adjusting to a post–World War I environment, with lots of debt overhang. Sound familiar? His arguments about the relative merits of lower tax rates to produce higher revenues won the day. And he saw higher revenues when rates were reduced. He literally discovered the basis of what we now celebrate as the Laffer Curve. In all fairness, we should call it the Mellon-Laffer Curve.”

Read the whole thing for it’s glimmers of hope and dread .

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Washington D.C. Living In Economic Bubble Where Everything Is Great

” As mentioned before, there really are only two types of places doing well in this economy. States with their own energy booms, like North Dakota and Texas.

And Washington D.C.

D.C. is doing spectacularly well thanks to the green gold gushing out of the Treasury and into the pockets of a whole lot of bureaucrats and contractors making a ton of money for literally doing nothing. (See if you can find where all that Stimulus money went.)

So it’s not surprising that when D.C. people say that there is a recovery, they mean it. “

 

 

The fifteen richest counties in America :

 

No. 1: Loudoun County, Va.   Median household income: $119,540
100.0% Reporting B. Obama (i) Dem 51.6% 81,900
M. Romney GOP 47.1% 74,794

 

 

No. 2: Fairfax County, Va.   Median household income: $103,010
100.0% Reporting B. Obama (i) Dem 57.3% 6,636
M. Romney GOP 41.1% 4,762

 

 

No. 3: Howard County, Md.   Median household income: $101,771

100.0% Reporting B. Obama (i) Dem 59.5% 84,017
M. Romney GOP 38.3% 54,094

 

 

No. 4: Hunterdon County, N.J.  Median household income: $97,874

100.0% Reporting M. Romney GOP 58.9% 36,979
B. Obama (i) Dem 40.0% 25,148

 

 

No. 5: Arlington County, Va.   Median household income: $94,986

100.0% Reporting B. Obama (i) Dem 69.2% 81,178
M. Romney GOP 29.4% 34,433

 

 

No. 6: Douglas County, Colo.  Median household income: $94,906

100.0% Reporting M. Romney GOP 62.6% 93,930
B. Obama (i) Dem 36.0% 54,093

 

 

No. 7: Stafford County, Va.   Median household income: $94,317

100.0% Reporting M. Romney GOP 53.7% 32,429
B. Obama (i) Dem 45.0% 27,130

 

 

No. 8: Somerset County, N.J.  Median household income: $94,270

100.0% Reporting B. Obama (i) Dem 52.0% 70,168
M. Romney GOP 46.8% 63,159
No. 9: Prince William County, Va.  Median household income: $92,655
98.9% Reporting B. Obama (i) Dem 57.4% 103,161
M. Romney GOP 41.4% 74,371

 

 

No. 10: Morris County, N.J.  Median household income: $91,469
100.0% Reporting M. Romney GOP 55.3% 114,265
B. Obama (i) Dem 43.7% 90,313

 

 

No. 11: Nassau County, N.Y.  Median household income: $91,104
100.0% Reporting B. Obama (i) Dem 52.9% 243,649
M. Romney GOP 46.2% 212,882

 

No. 12: Montgomery County, Md.  Median household income: $89,155
100.0% Reporting B. Obama (i) Dem 70.9% 286,493
M. Romney GOP 27.4% 110,940

 

No. 13: Calvert County, Md.  Median household income: $88,862
100.0% Reporting M. Romney GOP 53.2% 22,413
B. Obama (i) Dem 45.0% 18,963
No. 14: St. Mary’s County, Md.  Median household income: $88,444
100.0% Reporting M. Romney GOP 56.9% 25,096
B. Obama (i) Dem 40.8% 17,982
No. 15: Charles County, Md.  Median household income: $87,007
100.0% Reporting B. Obama (i) Dem 65.0% 45,621
M. Romney GOP 33.7% 23,637

 

 

 Notice a trend ? It seems life for our “betters” just keeps getting better … 

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China ‘To Overtake America By 2016’

 

 

china_gdp

 

 

 

 

 

 

 

 

 

 

 

 

 

 

” China is on track to overtake America as the world’s biggest economy in 2016 as its growth accelerates, according to a report by the Organisation for Economic Co-operation and Development.

“China has weathered the global economic and financial crisis of the past five years better than virtually any OECD country and than many other emerging economies,” said the OECD.

“It is well placed to enjoy a fourth decade of rapid catch-up and improving living standards,” the tank added. However, it did point to risks such as property prices and potential tension arising from social inequalities and an ageing population.”

NEGATIVE GROWTH: ECONOMY TANKS IN FOURTH QUARTER

 

 

 

    A simple perusal of the above table will show that in 19 quarters of Obama governance there have only been 8 quarters with growth at 2% or above . That is anemic “growth” at best . Three quarters with negative growth and three quarters with growth in the 3% range . Pathetic . For a sitting president to be re-elected with this economic record is not only unprecedented but an embarrassment .

 

 

 ” The American economy has taken a nosedive.For the first time in over three years, the U.S. Gross Domestic Product shrank. Between October and December of 2012, the GDP had a negative growth of 0.1. And let’s remember that this is the same quarter where we saw the media go into hyper-drive to spin Obama’s anemic job and GDP growth into a repeat of the Roaring Twenties.”

 

   Media corruption is the obvious answer . If the MSM did their job even half a diligently in the age of Obama as they did with Bush we would all be better off . 

 

” The media is just as bad. The biggest story in our country today should be the increase in poverty and an unemployment crisis so dire our labor force has shrunk to thirty-year lows. But neither will speak of it. We do, however, know all about some idiot and his phony girlfriend. We know all about a “heckle” that didn’t happen. One wonders which is the bread and which is the circus.”

 

   We anxiously await the ” unexpected ” nature of the first quarter report for 2013 . With the tax hikes and Obamacare mandates kicking in as of January first we wager that this quarter is going to be a real winner .

 

IBD catches more of Obama’s lies .

” “The truth is,” Obama says, “we tried (that) for almost a decade, and it didn’t work.”

   Bush-era tax cuts and deregulation, he argues “resulted in the most sluggish job growth in
decades” along with “rising inequality, surpluses turned into deficits, culminating in the worst
economic crisis in our lifetimes.”
There’s just one problem. Obama’s got his history wrong.

  First, Bush was no big deregulator. “