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Tag Archive: Recovery


Michael Schumacher Out Of Coma And Leaves Hospital Six Months After Ski Accident

 

 

 

 

 

” Michael Schumacher is no longer in a coma and has left the hospital in Grenoble where he had been receiving treatment after being involved in a skiing accident last year.

  The seven-times Formula One world champion had sustained severe head injuries in the incident in the French Alps in December, and was subsequently put into an artificially-induced coma a few days later.”

 

 

 

 

” But his management company said in a statement on Monday: “Michael has left the CHU Grenoble to continue his long phase of rehabilitation. He is not in a coma anymore.” “

 

Wishing Michael a swift recovery now that he has awoken from his medically-induced coma . Read more

 

 

 

 

 

 

 

 

 

 

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Pending Homes Sales Plunge, Surprising Economists

 

 

 

 

” This pending home sales index fell to 92.4 from a downwardly revised 101.2 in November. These signed contracts are an indicator of sales in January and February, and are at the lowest level since October 2011.

  December pending home sales drop 8.8% YOY CNBC’s Diana Olick says the National Association of Realtors reports December pending home sales dropped 8.7 percent. The high drop is contributed to exceptionally bad winter weather.

  All four major regions in the U.S. saw declines. Of these, the Northeast saw the steepest fall while the Midwest’s drop was smallest in December from the month before.”

 

See related “recovery” story : Jobless Claims Jump As Growth Slows
More at CNBC

 

 

 

 

 

 

 

MSNBC: December Jobs Report Is ‘Horrific, Awful And Ugly’

 

 

 

 

 

” Morning Joe’s crack news team did make a half-hearted stab at blaming “cold weather,” but you could tell they’re just not into the argument. The fact is there’s simply no way to spin this data as anything other than dismal. They even bemoaned the fact that the unemployment rate only went down because so many people left the workforce.  For MSNBC, that comes dangerously close to actual reporting.

  Probably the best part of the segment was the look on Mika Brzezinski’s face. Dour, downcast, and frustrated, she looks like her head’s about to explode. This may be because, like liberals everywhere, she treats each and every bit of negative news that stems from her political messiah’s administration as a personal assault.”

 

 

More at CainTV

 

 

 

 

 

 

37 Reasons The Media Is Lying To You About A “Recovery”

 

 

 

 

“If you repeat a lie often enough, people will believe it.” Sadly, that appears to be the approach that the Obama administration and the mainstream media are taking with the U.S. economy. 

   They seem to believe that if they just keep telling the American people over and over that things are getting better, eventually the American people will believe that it is actually true. On Friday, it was announced that the unemployment rate had fallen to“7 percent”, and the mainstream media responded with a mix of euphoria and jubilation. For example,one USA Today article declared that “with today’s jobs report, one really can say that our long national post-financial crisis nightmare is over.” But is that actually the truth? As you will see below, if you assume that the labor force participation rate in the U.S. is at the long-term average, the unemployment rate in the United States would actually be 11.5 percent instead of 7 percent. There has been absolutely no employment recovery. The percentage of Americans that are actually working has stayed between 58 and 59 percent for 51 months in a row. But most Americans don’t understand these things and they just take whatever the mainstream media tells them as the truth.”

 

 

 

 

 

 

 

 

 

Then And Now: Recovery After Sandy

 

Then And Now: Recovery After Hurricane Sandy

 

 

 

” Hurricane Sandy hit October 29, 2012 near Brigantine, New Jersey, and terrorized 24 states up and down the East Coast. A year later, people are still recovering from an estimated $65 billion in damage. These photos capture the destruction of New York City and Long Island, New York.”

 

 

See 52 more photos of the recovery effort a year into it 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Five Signs That Housing Market Recovery Is Caving In

 

 

” The stocks rallying on good news is normal. Rallying on bad news means it’s climbing the proverbial wall of worry and looking ahead to better days. So what portends when it dives on good news? Run while you can still get out alive. Company news and earnings are always positive at height of the market and everyone thinks this time it’s different.

Such is the case with homebuilder shares. The former high-flying iShares Dow Jones US Home Construction (ITB) and SPDR S&P Homebuilders (XHB) led the losers list Thursday, collapsing 3.37% and 1.39% while the benchmark SPDR S&P 500 ETF (SPY) ticked higher 0.25%.

Shares caved in even though D.R. Horton (DHI), MI Homes (MHO), Meritage Homes(MTH) and Ryland (RYL) all eclipsed Wall Street earnings expectations when they reported Wednesday and Thursday. Only PulteGroup (PHM) missed views although earnings doubled and sales climbed a notable 20% year over year.”

 

 

 

 

 

 

Where Are We Now? – A World View

 

 

 

Wondering why the money world got its knickers in a twist last week? The answer is simple: the global economy is breaking apart and its constituent major players are doing face-plants on the downhill slope of a no-longer-cheap-oil way of life.  Let’s look at them case by case.

     The USA slogs deeper into paralysis and decay in a collective mental fog of disbelief that its own exceptionalism can’t overcome the laws of thermodynamics. This general malaise precipitates into a range of specific quandaries. The so-called economy depends on financialization, since it is no longer based on manufacturing things of value. The financialization depends on housing, that is, a particular kind of housing: suburban sprawl housing (and its commercial accessories, the strip malls, the box stores, the burger shacks, etc.). Gasoline is now too expensive to run the suburban living arrangement. It will remain marginally unaffordable. Even if the price of oil goes down, it will be because citizens of the USA will not have enough money to buy it. Lesson: the suburban project is over, along with the economy it drove in on.

     But so is the mega-city project, the giant metroplex of skyscrapers. So, don’t suppose that we can transform the production house-building industry into an apartment-building industry. The end of cheap oil also means we can’t run cities at the 20th century scale. That includes the scale of the buildings as well as the aggregate scale of the whole urban organism. Nobody gets this. For one thing, there will be far fewer jobs in anything connected to financialization because that “industry” is imploding. The recent action around the Federal Reserve illustrates this. When chairman Bernanke’s lips quivered last week, the financial markets had a grand mal seizure. He floated the notion that his organization might “taper” their purchases of US government issued debt and mortgage-backed securities — the latter being mostly bundled debt originated by government-sponsored entities and agencies. That’s the “money” that supports the suburban sprawl industry.”

 

 

 

Read the whole sobering article … if you dare .

 

 

 

 

 

 

 

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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HOW BAD IS OBAMA’S RECORD ON THE ECONOMY? THIS BAD

 

 

” We are now nearly five years into the Age of Obama, and I think pretty much everyone understands that, economically speaking, the record is poor. If you think unprecedented levels of unemployment and poverty, declining labor force participation, booming food stamp use and so on are the signs of a healthy economy, then you should be satisfied with the Obama administration. Otherwise, not.

It must have hurt the New York Times to report this, but report it they did: “Many Rival Nations Surge Past the U.S. in Adding New Jobs.”

[C]ontrary to the widespread view that the United States is an island of relative prosperity in a global sea of economic torpor, employment in several other nations has bounced back more quickly, according to a new analysis by the Bureau of Labor Statistics.”

 

 

 

 

 

 

 

 

 

The Tunnel People That Live Under The Streets Of America

 

 

” Did you know that there are thousands upon thousands of homeless people that are living underground beneath the streets of major U.S. cities?  It is happening in Las Vegas, it is happening in New York City and it is even happening in Kansas City.  As the economy crumbles, poverty in the United States is absolutely exploding and so is homelessness.

The New York Post followed one homeless man known as “John Travolta” on a tour through the underground world.  What they discovered was a world that is very much different from what most New Yorkers experience…

 
 

In the tunnels, their world is one of malt liquor, tight spaces, schizophrenic neighbors, hunger and spells of heat and cold. Travolta and the others eat fairly well, living on a regimented schedule of restaurant leftovers, dumped each night at different times around the neighborhood above his foreboding home.

Even as the Dow hits record high after record high, poverty in New York City continues to rise at a very frightening pace.  Incredibly, the number of homeless people sleeping in the homeless shelters of New York City has increased by a whopping 19 percent over the past year.”

 

HT/THE INTERNET POST

 

 

 

 

 

 

HOUSEHOLD INCOME TUMBLES DURING THE OBAMA “RECOVERY”

 

Household income tumbles during the Obama "recovery"

 

” The New York Times delivers some news so grim that it had to cook the headline to hide it: “Median Household Income Down 7.3% Since Start of Recession.”

Well, yes, but as the Times reluctantly admits in the very last paragraph of the story, 5.6 percent of that decline has occurred since the Obama “recovery” began.  And median annual household income just fell by 1.1 percent in a single month – February 2013 – after the Obama “recovery” has supposedly been in progress for years.  That’s after $6 trillion in deficit spending to “stimulate” the economy, supposedly for the benefit of the average household.

What’s behind this decline in household income, which has become so drastically pronounced throughout the Obama era? ”

 

 

 

 

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Obamacare Continues To Restrict Hiring

” The Beige Book is a report published eight times a year that details the economic activity in the 12 different Federal Reserve regions. As this most recent report explains, “Employers in several Districts cited the unknown effects of the Affordable Care Act as reasons for planned layoffs and reluctance to hire more staff.”

But why is this news now? Federal Reserve presidents have cited Obamacare as a hiring hindrance for a few years now. In 2010, the Federal Reserve Bank president of Atlanta said,“We have frequently heard strong comments to the effect of ‘My company won’t hire a single additional worker until we know what health insurance costs are going to be.’” There is little more clarity on what the new costs are going to be for business owners. This is why three different Federal Reserve regions have directly linked Obamacare to slower hiring.”

” At WNYC’s Data News, MTA subway-recovery maps compiled into one handy animated GIF.”

State-Level Job Loss …

… Since the Start of the Recession

 

 

  “Employment in ten states is above their pre-recession levels. At 16.7%, North Dakota has, by far, the biggest job growth over this period, with Alaska and Texas growing at 3.4% and 3.0%, respectively.”

 

Notice anything about the growth states ? A common denominator ? 

 

Walter Russell Mead :

  “Here’s some more bad news for the economy: analysts are predicting that corporate profits may fall this quarter for the first time in three years. This comes as a bit of a surprise. Business hasn’t quite been booming, but most of the economic news over the past few weeks has been good—or has at least shown some movement in a positive direction. But as the New York Times reports, the slowdown in Asia combined with the return to recession in Europe has cut demand for new goods, and fewer businesses are expecting things to get better: “

 

Ronald Reagan Knew Better

You DID build that .

 

  ” How did, perhaps, the most iconic conservative President in the last century feel about the subject?  Ronald Reagan understood much about entrepreneurs:

The explorers of the modern era are the entrepreneurs, men with vision, with the courage to take risks and faith enough to brave the unknown. These entrepreneurs and their small enterprises are responsible for almost all theeconomic growth in the United States. They are the prime movers of the technological revolution. In fact, one of the largest personal computer firms in the United States was started by two college students, no older than you, in the garage behind their home.

Some people, even in my own country, look at the riot of experiment that is the free market and see only waste. What of all the entrepreneurs that fail? Well, many do, particularly the successful ones; often several times. And if you ask them the secret of their success, they’ll tell you it’s all that they learned in their struggles along the way; yes, it’s what they learned from failing. Like an athlete in competition or a scholar in pursuit of the truth, experience is the greatest teacher.” “

Jobs ? What Jobs ?

“The Keynesian government-spending model has proven a complete failure. It’s the Obama model. And it has produced such an anemic recovery that frankly, at 2 percent growth, we’re back on the front end of a potential recession. If anything goes wrong — like another blow-up in Europe — there’s no safety margin to stop a new recession.”

From the WSJ

“President Obama, in speech after speech, proudly makes the following point: Although we inherited the worst recession since the Great Depression, we have generated net new jobs every month, and while we need to do more, we are going in the right direction.

Of course, recoveries always go in the right direction—that is, things get better over time. But merely going in the right direction is an incredibly low performance standard. Moreover, since deep recessions are generally followed by more robust recoveries, this should have been one of the strongest recoveries ever.”

  In order to facilitate growth one has to reduce taxes and regulation . Government spending our tax dollars (stimulus) does not spur private industry and when the stimulus primarily went to prop up union jobs ( democratic constituencies) it was bound to provide anemic or non-existent growth . How anemic you ask ? 

“Sadly, this recovery is near the bottom of all 11. Cumulative nonfarm job growth is just 1.9% 34 months into recovery, the ninth-worst performance and well below the average job growth of 6.5%. Cumulative GDP growth is just 6.8% 11 quarters into this recovery, less than half the average (15.2%) and the worst of all 11.”

 This is what you get when you have a leadership made up primarily of people that have no business experience and don’t have the first clue what it takes to create a job .