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https://www.thegatewaypundit.com/2020/07/us-economy-actually-contracted-9-4-2nd-quarter-2020-not-32-9-reported-msm/ US Economy Actually Contracted 9.4% in the 2nd Quarter 2020 – Not the 32.9% Reported by the Liberal MainStreamMedia Preview Open
Jim Geraghty of National Review and Greg Corombos of Radio America celebrate the booming economy that hit second quarter growth of 4.1 percent. They also notice the Democrats want to institute five years of jail time for spreading false information about elections dates and locations. And they see that Michael Avenatti was invited to speak to Iowa Democrats and they hope the party won’t take him seriously simply because he hates President Donald Trump.
Four of the Dow Jones’ greatest single-day swings occurred in a one-week stretch in February. Was it an aberration, or the new normal in the Trump economy? John Cochrane, the Hoover Institution’s Jack and Rose-Marie Anderson Senior Fellow and purveyor of The Grumpy Economist blog, assesses the health of the financial markets and other economic bellwethers worth watching.
This would be huge news if the media thought it wouldn’t benefit Donald Trump. So instead it gets small mention. Preview Open
An insightful image of the day, brought to you by the good folks at AEI. Preview Open
Bank credit is the amount of loans to companies and individuals. These debts to companies and individuals are assets to commercial banks. The Federal Reserve measures these levels in detail each week (Friday release) on its report: Assets and Liabilities of Commercial Banks in the United States – H.8 Preview Open
In the famous story of the Ant and the Grasshopper, the ant saves up and is ready for winter. The grasshopper lives hand to mouth, has no future planning, and freezes to death. The United States is approaching a major juncture: We have a $20+ trillion declared national debt, plus tens of trillions more in […]
The Commerce Department released a revision of the third quarter GDP data this morning, saying it rose 3.9% versus an advanced estimate of 3.5% a few weeks ago. Those results combine with the previous quarter to give us a 4.25% increase for the last six months, which the Wall Street Journal notes is the best six month reading since 2003.
Of course, some of that is due to the dreary first quarter numbers. GDP was down 2.1% in Q1, and, as part of that was due to weather concerns, some snap back in Q2 was to be expected. Still, any quarter around 4% is to be celebrated and if another revision puts the 4 handle in front of Q3 growth it will be the first time in 11 years that we have seen that. (The last two times we had growth over 5% two consecutive quarters? 1999.)
Today the Obama Administration drastically lowered its already dismal estimate of first quarter GDP. At the end of April, the Commerce Department claimed the GDP fell at a 1.0 percent pace. The agency has now revised that to a 2.9 percent annual rate, which is the economy’s worst performance in five years.
In the heady days of -1.0% growth, Democrats blamed the bad numbers on an unusually cold winter, but maintained there was one bright spot. The only reason the number wasn’t worse, they claimed, was because healthcare spending had drastically increased. Ignoring that Obama promised his health care reform would “bend the cost curve down,” the left praised the jump in spending — Obamacare saved the economy!
Today’s revision shows that healthcare spending actually dropped along with everything else. In a bad economy, no one wants to spend money on anything. But to our non-partisan press, yesterday’s spin is ancient history; what’s important is protecting the president today.
Recall that the Department of Commerce, last month, said that our economy as measured by GDP had contracted in the first quarter of this year by 1%. Commerce is out with an updated estimate of our economy’s performance for that first quarter: GDP shrank by 2.9%. Tyler Durden at Zero Hedge has a graph that’s […]
Last week, the European Central Bank lowered interest rates — to negative 0.1%. “What,” you may ask, “is a negative interest rate?”
As the New York Times explained before the move,
When a bank pays a 1 percent interest rate, it’s clear what happens: If you deposit your money at the bank, it will pay you a penny each year for every dollar you deposited. When the interest rate is negative, the money goes the other direction.
Amazing video: Why Today’s Liberals are Socialists. How Inflation and GDP numbers are manipulated by the Gov’t. “The phony economy we have now must collapse so we can have a real economy”. Preview Open
Business owners and those who hope to become one (wantrepreneurs) are a dying breed. First some wonky background: Technically, the U.S. economy is in “recovery”. However, most economists agree growth is anemic and vulnerable. 2014’s first quarter GDP was a mortifying 0.1%, surprising most everyone. Forbes called the growth “glacial”. Now we are informed that […]