Thread: U.S. Recession officially over
October 29th, 2009, 10:52 AM #1
U.S. Recession officially over
Based on a rise in GDP in 3Q09
The Commerce Department, in its first estimate of third-quarter gross domestic product on Thursday, said the economy grew at a 3.5 percent annual rate, the fastest pace since the third quarter of 2007, after contracting 0.7 percent in the April-June period.
The growth pace in GDP, which measures total goods and services output within U.S. borders, was above market expectations for a 3.3 percent rate. The economy last grew in the second quarter of 2008.
"Better than expected GDP is confirming that the Great Recession has ended," said Kevin Flanagan, fixed-income strategist for Global Wealth Management at Morgan Stanley in Purchase, New York.
October 29th, 2009, 11:06 AM #2
Yes, but it will still be a slow recovery with sustained unemployment through next year. Read tomorrows Krugman column.Conservatives: "If the facts disagree with our opinion, ignore the facts -- or at least misrepresent them."
October 29th, 2009, 01:16 PM #3
"A common equation used to calculate GDP is as follows:
GDP = Consumption + Government Expenditures + Investment +Exports - Imports"
Government expenditures have been HUGE, but that's NOT representative of any kind of stable economy. Has consumption increased?How about investment? Exports? I think most of this GDP spike is due to the false indicator of government expenditures. That is not economic growth.
Usually, terrible things that are done with the excuse that progress requires them are not really progress, but just terrible things.
October 29th, 2009, 02:20 PM #4
October 29th, 2009, 02:24 PM #5
And how much of that, precisely BECAUSE it was a government program, counts as government spending, as opposed to consumer spending?Usually, terrible things that are done with the excuse that progress requires them are not really progress, but just terrible things.
October 29th, 2009, 04:07 PM #6
October 29th, 2009, 05:37 PM #7
I bet this Flanagan crackpot doesn't have the nads to go up to the MS Delta and tell that BS to 20% unemployed. Never believe an Irishman without a shot of whiskey or a beer in his hand.http://www.youtube.com/watch?v=JOtab0BKOGY
The Nation which forgets it's defenders will itself be forgotten
You cannot make peace with dictators. You have to destroy them–wipe them out!
October 30th, 2009, 01:24 PM #8
YAY, bring out the party balloons...oh wait, I still can't afford them.
October 30th, 2009, 01:57 PM #9
October 30th, 2009, 06:30 PM #10
The problem is consumer spending. People are not comfortable enough with the future to open their wallets.
It's a damned if you do and damned if you don't scenario: A higher savings rate is good for the countries liquidity - we won't need to borrow as much from China - but bad for consumption, since it is being saved and not spent.
Bottom line is the economy will continue to tread water until people rebel against an economy that doesn't include them. So far, we are talking about around 20% unemployed, not looking or gave up, and recently graduated and not ever employed.
"Change we can go broke with!" EeeHaw!"The world burns while Obama Tweets."
November 2nd, 2009, 04:15 PM #11Too Little of a Good Thing
The good news is that the American Recovery and Reinvestment Act, a k a the Obama stimulus plan, is working just about the way textbook macroeconomics said it would. But that’s also the bad news — because the same textbook analysis says that the stimulus was far too small given the scale of our economic problems. Unless something changes drastically, we’re looking at many years of high unemployment.
...Conservatives: "If the facts disagree with our opinion, ignore the facts -- or at least misrepresent them."
November 3rd, 2009, 01:04 AM #12
November 3rd, 2009, 01:37 AM #13
November 3rd, 2009, 01:48 AM #14
California = 1/8 of the US Economy.
Highest unemployment in 75 years.
In NYC middle-class dressed people homeless.
National Guard returning to closed plants.
Recent College graduates..I don't even know.
More houses entering market.
Coming Flu season may further harm economy as hospitals fill up and public places empty.
Stock Market being sustained only by low interest rates that don't allow covering inflation.
Government figures on Cost of living decline are bogus.
No COLA for SSA recepients.
CIT enters Bankruptcy.
Bankers still demand mega-bonuses.
Government already shot its wad with previous stimulus + bailouts.
Dollar losing value.
Construction loans near impossible.
Hours cut for employed.
Restaurants in NYC raising prices to offset loss of business and pay rent.
Crummy jobs getting 300 applicants per job.
States near broke and giving out tickets --"fees of justice"-- like crazy
Banks charging this-and-that ("fee interest"), all cutting into spending money.
Yup, sure sounds like Great Recession over.
MegalosSkylakiFIRST TEN YEARS ANNIVERSARY HONOR ROLLthis April 18th, 2014 and will be Officially Celebrated That Day! SEE http://www.techimo.com/forum/imo-com...ml#post1070600
November 3rd, 2009, 03:15 AM #15
When companies start hiring again, it will be slow since productivity increases in tough times. In other words, you learn to make do with less, so the next hires are going to be expected to earn incrementally higher outputs per dollar of wages.
So expect a generation on under employment for todays "yes, we can." youth.
Part of me wants to laugh, part of me wants to cry. Poor troutturds. Flipping burgers and learning Spanish with a 4 year degree and the student loans are due...
Talking to one of my construction customers last week - he is willing to pay a higher starting wage for (legal) Mexicans and Russians than Americans. Basically, he isn't looking for any Americans that aren't journeyman level already.
That was not music to my ears, and should be a warning to yours."The world burns while Obama Tweets."
November 3rd, 2009, 03:18 AM #16Part of me wants to laugh, part of me wants to cry.Obama Lies
November 3rd, 2009, 03:31 AM #17
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Recession is officially over????
Some one needs to find out what the officials are smoking and if the rest of the country will get rose colored glasses and the good stuff to smoke.
November 3rd, 2009, 03:37 AM #18
November 3rd, 2009, 03:49 AM #19
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November 3rd, 2009, 04:05 AM #20
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