All those shouting about helping out those who created a 'credit crisis' for themselves now appear to have stoked the fears of a recession enough to provoke one.
None of them cut the prime rate, if they were so afraid of a recession (it's not just the Fed, you know, that can stimulate things ...).
Anyway, one has to laugh at those calling a basically flat employment report a "steep decline".
These junior mints don't seem to have an appreciation of what a real recession feels like, when the economy starts shedding jobs at nearly 300,000 a clip and inventories are riding high, so that the bottom seems no where in sight.
It's very possible that high resource prices (oil, nat gas) are having just as much affect as all the worry about mortgage defaults, many of which seem to be related to speculation in "hot" real estate markets.
A slow housing market is a concern, because there are so many knock-on effects, but nominal wages are still growing and unemployment isn't rising.
Friday, September 7, 2007
Employment Growth Neither Here Nor There
