Submitted by Tyler Durden on 09/27/2012 12:57 -0400
A massive 13% collapse in durable goods, the biggest since January 2009; a $20 billion miss to annualized Q2 GDP estimates, and well below the lowest estimate, 60+ weeks of constant upward BLS revisions to initial claims "data" and not to mention assorted atrocious economic (note: not to be confused with market - the two are now completely unlinked) data from around the globe. And what does the White House say: the data shows that the "US is making progress." We sure wouldn't want to know what it would look like if after 3 episodes of easing, trillions injected into the economy via the Fed, and of course $6 trillion in extra debt the US was not making progress. Oh and yes, everything else is Bush's fault.
I can explain it to you but I can't understand it for you.
"Any man who thinks he can be happy and prosperous by letting the Government take care of him; better take a closer look at the American Indian." - Henry Ford
Corruptissima re publica plurimae leges; When the Republic is at its most corrupt the laws are most numerous. - Publius Cornelius Tacitus
Have faith, QE3 will bail us out. Buy all the mortgage debt. That will make Wall Street very happy. They will kiss Bernanke bfore they bend him over. Enjoy your toxic securities.
But the joke is on them, the Fed will just use printed bills. Probably still wet from the printer.
Thomas Sowell: There are no solutions, just trade-offs.
Consumers boosted spending in August by the biggest amount in six months, but their wages grew more slowly so they had to dip into their savings to pay for their purchases.
A sharp drop in savings over the past two months is a potentially negative sign for growth in the months ahead. Consumers cannot keep spending faster than their incomes grow, especially since their savings rate is already on the low side.
“The problem with this type of behavior is that it is unsustainable,” economist Eugenio Aleman of Wells Fargo said.
I may sound delusional but I can't see why consumers don't just go to the money tree in their back yard and "pick" more money to spend. Or they could do like the government is right now and just PRINT more money to spend. What do you say?
And if you tell me I can't have my own money tree....I'm going to call you mean, a racist, stupid and a woman hater. Don't tell me the truth...just tell me where I can get my money tree dammit!
Well, if anyone could give you a money tree it would be Romney. But, you won't get one of you are part of the 47%, that would be a handout and lead to more dependency. Only the wealthy get money trees.
archer wrote: Well, if anyone could give you a money tree it would be Romney. But, you won't get one of you are part of the 47%, that would be a handout and lead to more dependency. Only the wealthy get money trees.
Obama helps out his Wall Street buddies too. Wealth disparity has increased since he was elected.
All talk and no action.
Thomas Sowell: There are no solutions, just trade-offs.
If you want to see where America is headed under liberal Democrat leadership you don't have to look any further than California. Yesterday Californians learned that they will be losing an additional 1700 jobs as a result of Campbells Soup and COMCAST taking at least part of their operation out of the state and moving them to places where they can make a decent profit. California's Governor and Legislature see the businesses as cash cows. Next the state will be taxing companies for the carbon they produce (Jan 13). That ought to leave a mark.
Campbell Soup Company announced last Thursday plans to close its Sacramento soup plant and the spice plant in South Plainfield in 2013, eliminating a total of 727 jobs in an attempt to cut costs and improve efficiency.
The soup maker said that the Sacramento plant, established in 1947, will be slowly phased out and the final shutdown date is expected in July next year. The 700 plant workers learned of the shutdown in a predawn meeting inside the plant.
Sanzio said that Sacramento is the company’s least-efficient plant with the highest product cost per case of any plant in the U.S. so the decision to close is clear and compelling.
"We have concluded that the cost of doing business makes operations in California expensive and very difficult," said company spokesman Andrew Johnson.
"The cost of doing business in California is a well-known problem across the country and among business owners in the United States," said Scott Anderson, chief economist with San Francisco-based Bank of the West. "With the fiscal problems in California, these expenses will likely get higher. Tax rates may rise in California."
In a high-profile exit from California, Copart earlier this year relocated its headquarters to Dallas, abandoning its former head offices in Fairfield.
Top Ten Reasons Why Companies Are Leaving California
#1 – Excessively Adversarial: For eight years in a row, Chief Executive magazine found California to be the worst state for business. Editors said the state appears to have slipped deeper into the “ninth circle of business hell,” a reference to Dante’s Inferno. “The economy, which used to outperform the rest of the country, now substantially underperforms.” They’ve called California the “Venezuela of North America.”
#2 – Severe Existing Tax Treatment: The Tax Foundation in its 2012 State Business Tax Climate Index lists California at No. 48. CFO Magazine ranked California the worst state for tax treatment, as do many other rankings.
#3 – Future Tax Increases: Businesses will face higher income and sales taxes. The state has the largest budget deficit of any state. Employer costs will rise in 2013 as payroll taxes increase to bail out the Unemployment Insurance Fund (insolvent by $10 billion) and to cover excessive borrowing from the Disability Insurance Fund. Future bond borrowing costs will grow because California is S&P's lowest-rated U.S. state. (Bloomberg News, May 18, 2012: "Gov. Jerry Brown is seeking a 38,000 percent spending increase for a proposed high-speed rail system” despite a $15.7 billion deficit.)
#4 – Worst Regulatory Burden: California approved global warming cap-and-trade initiatives with 262 pages of new regulations and fees going into effect in early 2013 even though the state contributes less than 1 percent of the worlds’ green house gases. The draconian measures ignore Bain & Co.’s “regulatory hassle index” that found “California is far worse than any other state by a very significant margin.”
If you want to see how "great" government COULD be under Democrats...just check out this bureaucratic monster California has created:
You can go on believing that restrictive government and bad leadership have nothing to do with a failing economy. I don't need to look any further than the debacle unfolding in California to know that there is NO WAY I want Democrat fiscal policy leading this country for another 4 years. California is proof that you CANNOT tax your way to prosperity. The ones that are really losing there are the middle class. The really rich could give a hoot either way...and the low income folks will be cared for by others. But the economic engine of California is buckling and leaving as their jobs are driven away.
I know where America is heading under Democrats and I don't like the looks of it.
