A while back, if you'll remember... I ranted a wee bit about our current economic situation. It was a good rant. A justified rant. And, you know what, it still is!
So... painful as it may be for some out there to read... We are NOT in a recession. We aren't. The criteria still have not been met.
Remember... in order for a recession to exist we need NEGATIVE growth for two (2) quarters. We haven't even had one quarter of negative growth yet. Our economy is STILL growing... not receding... hence... NO RECESSION.
Now... are we experiencing a slowdown in growth? You bet your bippy we are... but slow growth is not a recession. Are people losing their jobs? Yes... we are having some higher unemployment recently than we have had in the past. Are there issues with the stock market... oooh... don't get me started!!
What does that mean? Well, it means that Sen. McCain is right. Our fundamentals economically are still strong. We still have the best workforce in the world. We still have a growing economy and once the issues with commercial paper are resolved, we'll see expansion continuing.
Obviously, it may be more fun to play Chicken Little and yell that the sky is falling... but even Chicken Little could point to an acorn that hit him on the head. The gloom and doomers here can't... we don't have one indicator for a recession yet. There is no justifiable way we can say that we are in a recession. None.
By definition we are not... and we won't be... unless, that is, we allow ourselves to be deceived and to listen to the pundits, and the comics, and the news folk... but that is our choice, isn't it?
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment