Posted on 03/03/2004 2:20:59 PM PST by Tumbleweed_Connection
Factories hummed and consumers kept cash registers busy in the first two months of this year, fresh evidence the economic recovery is moving ahead, according to a Federal Reserve report Wednesday. ``Economic activity continued to expand in January and February,'' the Fed said in its latest survey of business conditions around the country. On the jobs front, however, the report found employment ``growing slowly'' in most central bank districts. A separate survey of chief executives of the nation's biggest companies suggested hiring could start to pick up. One-third of the executives said they expected to increase hiring in the next six months, while 22 expected to cut payrolls and 45 percent expected no change, according to a Business Roundtable survey. The association said that is the first time since the fall of 2002 that a larger share of executives planned to add to payrolls rather than cut them. ``America's CEOs believe that the U.S. economy is on course for continued steady improvement over the next six months,'' said Hank McKinnell, chairman of the Business Roundtable and Pfizer Inc.'s chairman and chief executive. In the Fed report, factory activity rose in 11 of the 12 regional Fed districts, good news for America's manufacturers, who were hardest hit by the 2001 recession and have struggled mightily to get back on firm footing. In the Fed's Cleveland region factory activity didn't go up, but rather held steady, the Fed survey said. Even with the pickup in factory activity, manufacturers have lost 3 million jobs since July 2000. That's the month factory employment peaked as the economy was enjoying a record-long expansion. The lackluster jobs climate is a sore spot for President Bush, and the Democrats are trying to use it as an election-year issue. ``I don't think our country has an economic strategy,'' said Sen. Hillary Rodham Clinton, D-N.Y., who urged the administration to take steps reverse the loss of manufacturing jobs. The Fed report also said that consumer spending on general merchandise rose in most of the Fed's regions except for St. Louis, which reported a slight decline. Strong or strengthening sales were reported for the New York, Richmond and the Dallas regions. Sales growth was moderate in the Boston, Philadelphia, Chicago, Minneapolis, Kansas City and San Francisco districts. Retailers in Cleveland said sales met or exceeded expectations. In the Atlanta region, sales moderated a bit in February but were up from the same month a year ago, the Fed said. However, it said that nearly all regions reported slower auto sales in January and February compared to a year ago. Activity in the service sector also expanded in January and February. Boston and St. Louis, for instance, saw stronger demand for information technology services. The report, dubbed the Beige Book for the color of its cover, will be used as a basis for discussion when central bank policy-makers meet on March 16. Overall, ``it's a good report card for the economy,'' said Stuart Hoffman, chief economist at PNC Financial Services Group. Most economists, including Hoffman, expect the rate-setting Federal Open Market Committee to hold rates steady at a 45-year low of 1 percent at the March meeting. Fed Chairman Alan Greenspan on Tuesday said that extra-low short-term interest rates eventually will have to go up. He gave no clue when. Since last June, the Fed's main lever to influence economic activity, called the federal funds rate, has been at 1 percent. Near rock-bottom short-term interest rates have helped motivate consumers and businesses to spend and invest, an important factor to lift economic growth. Some economists believe the Fed will start to push up rates this year. Others don't believe higher rates will come until 2005. On the employment front, the Fed's Boston region indicated that temporary-help agencies were placing more workers in manufacturing, software development and government. Employment agencies in New York indicated that they have been experiencing gradual increases in demand. Agriculture conditions, meanwhile, were mixed in the first two months of the year, the Fed said. Demand for beef appeared to be recovering from the effects of the nation's first case of mad cow disease. But U.S. exports of poultry have been hurt by the outbreak of avian influenza, the Fed said.
How odd that she didn't provide any suggestions on how to do that. Why, she must not have any....or she does and she's not about to share them for the good of the nation, because she only cares about partisan politics.....or she's full of cowchips.
Correct answer? All of the above.
Indeed. Let's hear how many tractors she wants to build!
But isn't it obvious? The way to reverse the loss of manufacturing jobs, indeed to solve any problem, is to "focus like a laser on" that problem. Problem solved. That's how her husband did such a great job with The Economy. Right?
Hell with all the focus on "manufacturing jobs" as being the Most Important jobs in the world, I'm almost tempted to quit my current job and try to get one of 'em. They must be GREAT jobs to have if they're that important!!
Nice to see how the Dims arrive at that number! It means they are crediting BUSH with those crashing numbers from SIX MONTHS BEFORE GW TOOK OFFICE. (The downturn occurred in the Clinton administration).
And I'll bet that 3 million figure ALSO does not represent TODAY's economy, but keeps repeating whatever were the worst-case numbers when it bottomed out early last year.
That is easy to answer. She doesn't have one
Let me get this straight. It's ok to use tax cuts to stimulate the economy when manufacturing is involved but it's bad to give ME a tax cut so I can go out in the marketplace and buy stuff.
All tax cuts are stimulative to the economy. Why pick and choose?
You and I both. Private industries should have their economic strategies and if they are allowed to do what they do best, the governments economic "strategy" will be handed to them.
I have serious concerns about a government that thinks it can pick and chose which industry to favor - only the market can do that and the feds should stay out of its way.
That is easy to answer. She doesn't have one
Sure she has a plan. All the money you earn belongs to the government she wants to run.
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