economics

My Current View on the Economy /  by Guest User

fortune.jpg

I follow many of the top ecomomic thinker blogs and in a recent post on Calafia Beach Pundit, Scott Grannis summarizes my thoughts exactly on current market conditions. 

Conditions in the US look fantastic these days. Prices for lots of goods and services are soaring. Retails sales are at all time highs. Job openings are at record highs. Financial markets are awash in liquidity, and financial market conditions in general are about as good as they have ever been. Debt service burdens for most people are at all-time lows. The stock market is on the cusp of new all-time highs. Corporate profits are booming. Air travel is surging.

“Private sector jobs have recovered almost 70% of what they lost due to the Covid-19 shutdown. ”

The economy has recovered just about all it lost to the Covid-19 crisis. Household net worth is at all-time highs in nominal, real and per capita terms. Private sector jobs have recovered almost 70% of what they lost due to the Covid-19 shutdown. Vaccines and natural immunity have all but vanquished Covid-19. Conditions are improving daily, with no near-term end in sight. On the inflation front, expectations currently remain reasonably anchored at around 2.5%.

It’s Been 13 Years Since The Last Recession /  by Guest User

1613091045186.jpg

History is on our side - they may well be the "roaring 2020's". The average time between recessions has grown from about two years in the late 1800s to five years in the early 20th century to eight years over the last half-century.

It’s been 13 years since the last recession began in Dec. 2007. That’s the longest we’ve gone without starting a new recession ever, going back to before the Civil War. Hopefully, the roaring 2020's will be a decade without any downturns.

Onward!