The double-dip in the current Depression is coming. The press will try to pin the tail on the elephant just in time for the 2012 election, but remember: the economy was tanking already in 2011. The deficit "crisis" was a circus sideshow and all the long-term players knew we would never default or fail to boost the debt ceiling in SOME kind of a deal, even if it's not the current no-cuts* 'compromise' under consideration.
Q1 2011 was revised downward to GDP +0.4% growth. Q2 was initially called at GDP +1.3% but this is certain to be revised down also. China is widely claimed to need 8% growth in order to stave off an effective recession. How much growth does the USA need?
More than this.
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*No, no cuts. They are [deleted]ing and moaning about cuts to projected increases. See, you thought cut meant spend less but you are a rube in flyover country. Cuts in D.C. mean spend less than you wanted to, but more than last year by a lot. This compromise has THAT kind of spending cuts. Note that just holding to current spending levels balances the budget in seven years - but this is not a topic for polite conversation, so you did not hear it from me!
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