Posted on 01/06/2013 3:54:54 PM PST by blam
JPMORGAN: The US Recovery Is About To Hit A Pothole
Walter Kurtz, Sober Look
Jan. 6, 2013, 8:43 AM
As discussed earlier (see post), US manufacturing sector has begun to recover. Manufacturing orders in the US as well as in Emerging Asia (see post) have diverged from other large economies. This trend is becoming reflected in the broader economic activity.
However according to JPMorgan, the result of the latest fiscal negotiations will soon create headwinds for this expansion and dampen GDP growth. The tax increases on higher income households as well as the hike in payroll taxes will crate a drag on growth. That in turn will limit global economic activity.
JPMorgan: - Regionally the US and Emerging Asia are leading the move up in our global surveys. In the US, early December labor market reports and consumer indicators reinforce this message. Unfortunately, the economy is about to hit a pothole as the household sector absorbs a large front-loaded drag resulting from the fiscal cliff agreement. The increase in payroll taxes and higher marginal rates on high-income households is set to depress 1H13 income growth by roughly 2%-pts at an annualized pace.
(Excerpt) Read more at businessinsider.com ...
(shrug)
This is what Ubama and the Democrats fought for - - a drag on the economy which will result in the creation of more parasites who are dependent on government handouts, which in turn translates to a larger moocher class of Democrat voters.
Congratulations to Ubanga and the Democrats.
The fact something that ridiculous is even being considered shows how bad things really are.
I think there is a solution to the effects on the economy. Please go sign and help promote the White House petition
Produce a Trillion Dollar Coin for Every U.S. Citizen for the Purpose of Paying Taxes
Activities and services pledged by the U.S. government exceed the ability to pay based on current tax revenue. The budget deficit is added to the national debt, and federal taxes are used in part to pay for the debt and interest.
“Trillion dollar” coins are being considered to pay the national debt, however, we petition the U.S. Government to mint an adequate quantity of “trillion dollar” coins to pay off the national debt, and enough additional coins to provide one for each citizen of the United States.
These coins can only be used to pay federal, state, and miscellaneous taxes for the lifetime of the recipient. Residual funds from each coin will be available to heirs of the recipients, and will be exempt from inheritance tax.
Gravity. I believe they naturally form domed ceilings while being undercut, like you see in caves with large rooms formed by rockfalls. When it all finally gives way you have a circle.
:-) Well, now I’m getting glad I asked. I needed a non-political break & this one is fascinating.
Thanks!
JPM wanted Soros to be their CEO. He’s liquidated much of his investments with them so it’s probably true but more like a hole all the way to China with no way to fill it up with government Cha-ching.
And the Obama’care’ Commune Tax, and the thousands of business-destructive new Federal Regulations, etc.
Well, I’m pretty sure it is still George Bush’s fault. ;-)
But of course. Dubya wasn’t my favorite president by any means, but (if I had it) I’d pay big money to have him back now.
Sending prayers for their family.
I second that. I have no idea what to do with my 401k leave it in safe allocation, put it back in risk, or pray to god the Dems don’t confiscate it.
I really wanted to buy some stocks this year but unfortunately Obama got re-elected and I don’t know what to do either.
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