Either that or he'll claim racism.
As long as the King of Kenya keeps sending out those checks (Welfare, Unemployment, Fake Disability, etc.) retail sales will continue to show faux strength. We are headed towards a Greek style collapse when the debt overhang either caves in on us or taxes must be raised so high to simply maintain the status quo, that it removes an enormous amount of cash out of the economy sending our recession into a depression.
If it wasn’t you, I’d think you were series. ;-)
how would one reconcile this with 15% unemployment / underemployment?
- Much of the western world's growth for the past 40 years has been fueled by a massive increase and expansion of debt, year after year. In spending that growing amount of money, we've had the benefits of consumption now with a delayed bill in the future. "Let our kids pay for it."
- The gradual - and more recently - accelerating - accumulation of growing debt (with increased banking leverage, governmental indebtedness, deficit spending, etc.) has started to reach the limits for weaker western countries.
- Eurozone countries which lack their own printing presses for money can't just inflate their currencies to devalue their debt any longer. Once their banks are maxed out in lending to them, they're out of luck... No sane investor would invest in Spain, etc. any more.
- The reality is that official measures of inflation have been changed and changed and changed to minimize the official levels of reported inflation. Figures reporting economic activity, therefore, appear to be better than they are in real terms because they are reported in nominal terms - not true inflation adjusted numbers.
This game of "solving the problem" through the issuance of ever more debt and more spending can be continued for additional years in places like the US... but there is an eventual end to this game, and it is not going to be pretty. That which cannot be sustained indefinitely just won't be...
Really? What do the trend lines look like before a full-up depression/collapse?
“Things are great! Vote for Obama!” - Joe Weisenthal
Until we see the employment numbers going up, these ‘charts’ make little difference.
So, does the data in these charts illustrate that things have not gotten “too much worse” in the last 10 - 12 months?
I would love to see that same data over the last 5 years...
We’re not in a recession but the GDP growth last quarter was 1.9%, a paltry figure.
Those charts are nonsense. Auto sales were manipulated by two things: first, the federal government has gone on buying sprees to replace all government cars and trucks pushing the buys to Government Motors. Second, the cars and trucks are considered sold when they are shipped to the dealers .... drive by some of the Government Motors dealers and look at the inventory. The same cutesy tricks are used the other statistics and charts.
I mean, let's pick three indicators and extrapolate from that to the entire economy. I can't say we're headed back into recession [official recession, that is,] but if I produce a chart that shows, say, onion sales are down, will "Business Insider" reconsider?
Get underneath the charts.
Auto sales are up 15% over the past twelve months
Because:
1. I’m so screwed because my house is so far underwater, I can’t move up for many years, so I’d best buy a new car.
2. Gas prices are thru the roof, and I need to buy a new more efficient vehicle.
3. Last year I didn’t know whether GM or Chrysler were going to make it, so I held off a buying decision.
4. I had no idea whether my company was going to have another round of massive layoffs, and I sure didn’t want to take on debt if I got hit.
5. My 401K was totally decimated, so I had no idea how I could retire. Now that my portfolio has recovered, I feel more comfortable.
6. A few years ago, my ride had a bit of life left in her, so I didn’t go for the “cash for clunkers” deal as I didn’t know if my job was safe. Today I feel more positive,
Retail sales overall are trending down from a 5 to a 4 rating. I would expect that the overall retail sales include the large impact of auto sales which look quite positive on the prior chart, which then leads to the conclusion that except for automotive, the rest of retail sectors must really suck, especially household furnishings and appliances.
Significant cherry picking and data manipulation from where I sit. Since 2008 the universe of data has dramatically changed in order to support a a couple of “summers of recovery”. Without a nefarious rending of data, we have never left the recession. We may have neared the first bottom of a double dipper, but we haven’t seen the real bottom. In order to have a double dip you have to have a little bounce in the middle. Am I missing something or does this look lots like glowbull warming hockey sticks?