AP trying to put a happy face on breathtakingly horrible economic news.
The indoctrinated, under 40 crowd tends to live in the moment. They spend without regard to consequence. If they want it, then it must be a need. No money? Plastic works.
Well yeah folks spend when you keep implying covid after covid ETC crisis’s!
It’s like when an inch of snow is expected here in Raleigh people go out and empty the shelves whether they need to or not!
US economy shrank by 1.4% in Q1 but consumers kept spending
What else can consumers do? Have you seen grocery prices lately? Or the price of gasoline?
STAGFLATION - STAGFLATION - STAGFLATION. Thanks DemocRATS!
Huh? The titles makes about as much sense as:
“Americans losing weight while eating more and not exercising”.
And adjusting for the *real* level of inflation?
Unrelated, but your Moderna thread has no post#1, so no one can reply to your thread.
Just FYI.
Now, imagine how this article would have been written had this news come out under Trump...
Jimmy Carter and the late 70s are calling, a shrinking economy and spiraling inflation equals STAGFLATION...not seen since that late 70s and Jimmy Carter.
Bull Sheeeet. AP = Always Propaganda
Buying less stuff for more money.
"Spending" increased because everything costs 30% more than it did a year ago.
Anyone making moves with their retirement accounts, or hanging in there?
LOL - does not mean a recession, lol. Technically that is true. It takes 2 negative GDP quarters for a recession. 1Q was negative, so true, it does not mean we are in a recession. However, when 2Q is negative, it will be.
Most economists are wrong given the hard left-wing tilt they seem to display. Most economists were not predicting a negative 1Q, so why believe them when they predict 2Q will be “stronger”?
Everything the government is doing is 180 degree wrong. Inflation is still increasing, we are squeezed financially. We are squeezed politically. States are squeezed by massive illegals. Hard to see a path forward that is not a recession.
And his party of riggers
“The U.S. economy shrank last quarter for the first time since the pandemic recession struck two years ago...”
I really do not see how that is possible.
Tourism was flat out shut down
Highways were so clear in the middle of the week that kids would caravan down them at speeds in excess of 100mph.
With people going home “to work” parking garages in cities like San Francisco were closed because downtown resembled the ghost cities of China.
All the attendant companies in the downtowns had no customers. ie restaurants, dry cleaner, office supply companies, coffee and water services, etc.
I have a friend who owned 4 Auto Paint Collision centers. He closed 2 and the employees he kept were working 1/2 days.
Why? Because with no one driving on the roads there were less auto accidents.
Another friend owns a fleet of tow trucks and his guys were sitting around doing nothing as well.
I could go on detailing the number of companies who lost revenue and permanently closed because of this scam but, it amazes me that the economy grew at all or even held flat.
fortunately I haze zero bills except my cell phone, which I can’t seem to pay off and I weathered that storm.
I myself lost 75% of my income and saw that same number of colleagues permanently laid off at the same time.
I actually don’t believe it either...
This points out the fallacy that consumer spending drives the American economy — it doesn’t. Consumers can continue to spend even as production falls; especially during an inflationary period.
Eventually, should business to business spending fail to improve, consumer spending must begin to fall — assuming, of course, that Biden doesn’t send out another round of stimulus checks printed out of the proverbial thin air.
And I wouldn’t bet against that.
But what are they spending on?
From my point of view they are spending in two places, on necessities, (food and fuel) and on things like home improvement. Lots of new roofs and fences going up. Not a lot of new cars or new kitchens.
Garden supplies are being sold, landscaping not so much.