Posted on 11/17/2005 6:19:20 AM PST by SoFloFreeper
WASHINGTON (AP) -- Output at the nation's factories, mines and utilities rose at the fastest pace in 17 months in October, posting a solid rebound from the devastating Gulf Coast hurricanes. The Federal Reserve reported that industrial output was up a healthy 0.9 percent last month as refineries and oil and natural gas platforms began production again after widespread shutdowns caused by hurricanes Katrina and Rita. Last month's increase followed a 1.5 percent plunge in September, which had been the biggest one-month drop in industrial production in more than two decades.
There's a hell of a relationship between low taxes and growth.
The city of Mobile is reporting that tax revenues are up 50% (the whole county is reporting similar numbers) due to post Katrina activity.
Absolutely. Al is targeting asset prices (the red hot housing market)
Unfortunately, the Feds always overdo it. The Bond King, Bill Gross, said when that happens, the refinancing boom will end. After that happens, our economy will enter a recession.
Guess who is gonna be blamed? I am putting this on my tagline...
Okay, it's up a little. But, it hasn't even recovered its losses. Still nothing to shout about.
Notice how the stock market ( a forcasting tool) has been moving up nicely in the past 3 months.
One cog in the wheel, and Congress must pass tax policy. Per the Constitution, the president can not do that.
Again, the USA is only 20% of the world's economy. Our coincident indicators such as industrial production have more to do with the global economy than the economy of just the USA.
The majority of our orders are for new commercial and residential construction in and around the Dothan area. Although we do ship to the Panama City area occasionally, I can't think of a single hurricane related order. Things are just looking up!
Bingo!
Your assessments in my opinion have been spot on.
One of the investment moves I perceive right now is a modest movement of investment capital from intangibles, Internet, communication infrastructure, etc. to tangibles such as physical infrastructure, area renovations, the construction of new buildings to house actual brick and mortar retail establishments and the resulting capital benefits that come with construction and the creation of physical infrastructure.
[shaking head in wonder]
And he directed it to only take out black businesses. Talk about precision guided weapons.
I think that you're the one who is wrong, here. Bush's tax cuts are what spurred the economy in the first place. We wouldn't even be near this level of production, had it not been for the Bush tax cuts. The tax cuts are also responsible for the growth in home ownership and thus the real estate boom.
Again your ability to not see the forest through the trees is noteworthy. The President often proposes as well as spearheads legislation and is an integral force in it's direction. Industrial output is based on both 1) capability (capacity) and 2) % utilization. POTUS can have a nominal effect on the former but significant on the latter.
And do not get me wrong, the tax cuts are beneficial but more so we are coming out of the investment malaise caused by the dot.com meltdown when billions of investment dollars were in many cases flushed down the toilet in the hope of striking it big in the "new" business, Internet sales.
Really much of the "prosperity" we experienced in the 90's was based on large amounts of investment capital tossed at businesses that were ultimately doomed to fail.
Investment capital was there to spend on a new toy" the Internet" because of the Reagan area tax policies.
While there is short term benefit to the current tax cuts, we may not realize the full potential for many years to come. That is why they need to be made permanent.
The interest only loans came after the boom was well under way. The boom started, initially, as a safe investment vehicle. Then when the rates hit bottom, first time buyers jumped into the market (I think there was actually some gov't incentive offered for first time buyers). The thing just began to spiral from there. Now that you can put rental properties into your IRA, a lot of people just feel safer investing in real estate, than the stock market.
Agreed.
Speculation can have a very dark side to it when dealing in intangibles, whether that is the stock market or for that matter beenie babies and collectibles. Ultimately intangibles are worth nothing until someone ponies up money for them.
Whatever the foibles from speculating on real estate can bring, it is a tangible and should have long term endurance.
I agree with you to a point. But the issue here is media driven perception. If there were not term limits, Clinton would probably still be president and perhaps king of the world due to the assocation with economic health and his rule during the 90's. There was absolutley no correlation, he just happened to be pres when the tech boom took off. So accurate or not, Bush deserves the same virtual credit.
Eva, I apppreciate your enthusiasm, but I responded from an economics point of fact. You are responding like this is some RAT vs Republican issue and you are in the cheering section for the Republicans.
From a scientific, educational and real world angle, the business cycle and global economy have the sway over the USA's current economic coincidental indicators, not anything President Bush has done directly.
That is Economics 101 fact.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.