Monday, November 05, 2007

Economic Truth

Mitch tries to put lipstick on the pig:
Oh, woe is we:
Well, well, well … 166,000 new jobs. Twice the consensus view. Did somebody say Goldilocks? Did somebody say the greatest story never told?
Silly Larry. That’s what gatekeepers are for. If this news actually got out, Democrats’d have to work to get elected.
What Mitch forgets, and those of us that pay attention understand, is that over time, we are actually trending down, again. And at no time have we come close the growth experienced pre Bush II:At some point, when an economy is bottom out, it is obvious it will then climb somewhat. To tout these growths without recognizing the pathetic numbers that preceded them s disingenuous.

What is really silly, is his source then decides to change the rules:
Outside the struggling financial and consumer discretionary sectors, the economy is firing on all cylinders. Economy-wide profits are up a smoldering 15 percent in the third quarter when you remove these two laggards.
Great, if we take away two key determining factors in the formula, everything else looks rosy. Funny, changing the rules again to make things look better than they are.

I won't argue that raising taxes would make things better, but continuing to borrow billions for the war while our dollar spirals downward can't be making things better either. Its one thing to be a fiscal Conservative, and a whole 'nother matter to be fiscally responsible. Those terms are not interchangeable.


MORE: Professor King has more insight on the state of the economy, all but admitting he would irritate his fellow NARNiacs:
-- the consensus of forecasters (according to Bloomberg this AM) was for 80,000 jobs rather than the 166,000 reported. Believe me, most of us who look at this stuff for a living were surprised. Investors Business Daily opines, meanwhile, that all of the negative press has created cognitive dissonance in voters and consumers.

Some of us -- and at risk of annoying my fellow NARNians Ed and John, I am in this camp -- remain unimpressed by this number, the GDP report from Wednesday, or much else. I could make this a long post, but it's late and I'm in need of dinner and an evening walk with Littlest.
Read his whole take. King has a way of laying it out so anyone can understand it.

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