Skip to comments.Ignore GDP and the Fiscal Cliff, U.S. Is Already in Recession
Posted on 11/30/2012 2:10:50 PM PST by Lorianne
The U.S. economy grew 2.7% in the third quarter, up from a previously reported 2% the government reported Thursday. But the guts of the report raised some concern, notably a big increase in inventories and a big downward revision to consumer spending.
For most economists, the GDP report provides further evidence of a U.S. economy that's growing modestly, but far from robustly. For Lakshman Achuthan, co-founder of the Economic Cycle Research Institute, the report is a distraction from the real story: the U.S. economy is already in recession.
"The evidence is starting to mount a recession is already underway, and we're a few months into it," he says, suggesting the downturn began in July.
Jobs Set to Turn Down
"Employment is the odd man out" of the NBER's four key indicators, he admits. "[But] we do believe jobs are going to turn down and join the other indicators in their downturns" -- suggesting 2013 could get off to a very rough start.
(Excerpt) Read more at finance.yahoo.com ...
But we were in recovery at the beginning of this month. What changed?
Who knew that after the election a plethora of negative data would be released?
We, who linger here, knew!
a Recession is when your neighbor is out of work. A Depression is when you are out of work.
The democrats are happily setting up a new economic system. It sets up the hard-working honest people to work till they drop, paying huge taxes that go to the indolent slobs who vote democrat.
They don’t care if they put the country into a worse recession and destroy business.
The “cliff” is just a distraction.
The growth of 2.7 minus the inflation of 2.2 = real growth of only .5%. That is not a really meaningful figure within the limits of precision.
I t could really be 0 growth
Yup. This guy says it all.
He DOES know what he is doing to America.
Yep - he's been able to mask the effects of it by outrageous printing/spending, but that can't go on forever. When the bottom drops out, there will be riots in the streets and the government will "have no choice" but to step in, physically confiscate possessions from the "haves" to support the "have-nots" and we'll be done.
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