SEARCH BLOG: ECONOMY
The media hits the same note every day: the recession is ending... the economy is getting stronger. Just a few observations:
- Oil has fallen below $70 again. There simply is not enough demand to prop up higher prices.
- Interest rates remain grounded. There simply is not enough economic activity to warrant raising rates. Raising rates, in fact, may put the economy into a deeper tail spin.
- Employment is not improving. Jobs are sporadic and temporary. Stimulus funds are not generating permanent jobs.
- Housing is laid waste. It is likely that any small increase in new housing was based on the hope of improvement rather than a queue of buyers.