The Other McCain

"One should either write ruthlessly what one believes to be the truth, or else shut up." — Arthur Koestler

‘Stalled Recovery’

Posted on | August 27, 2010 | 16 Comments

That’s the the L.A. Times euphemism for “depression”:

Downward revision of GDP growth
a strong signal of stalled recovery
The Commerce Department on Friday downgraded the nation’s economic growth in the second quarter, providing the most important evidence yet that the recovery has stalled.
The anemic annualized growth rate of 1.6% was down from last month’s estimate of 2.4%. The drop was slightly less than many economists had predicted, but the report still put an exclamation point on a week of bad economic news that has raised fears the nation could plunge into another recession.

Which is to say, we’ve had the dead-cat bounce and are now in, or at least approaching, the second half of a W-shaped (“double-dip”) recession. The New York Times briefly summarizes other indicators:

The news came at the end of a week that showed the economic retrenchment that began in the second quarter has spilled over into the summer. Existing home sales in July were down to their lowest level in a decade, and sales of new homes that month were at their lowest level since the government began tracking such data in 1963. Orders for large factory goods, excluding the volatile transportation sector, dropped in July, indicating that recovery in the manufacturing sector is also stalling.

“Bailout Ben” Bernanke gave a speech at Jackson Hole, Wyo., this morning that appears to have pleased Wall Street. As of about 11:20 a.m. ET, the Dow Jones Industrial Average was up more than 115 points, but the economic problem isn’t on Wall Street, it’s on Main Street.

Category: Economics

Comments

16 Responses to “‘Stalled Recovery’”

  1. richard mcenroe
    August 27th, 2010 @ 3:27 pm

    If we can’t get this economy out of the hands of this Administration and Congress, it won’t be “w” shaped, it’ll be a damn picket fence ///…

  2. richard mcenroe
    August 27th, 2010 @ 11:27 am

    If we can’t get this economy out of the hands of this Administration and Congress, it won’t be “w” shaped, it’ll be a damn picket fence \/\/\/\…

  3. Americaneocon
    August 27th, 2010 @ 4:09 pm

    Actually, here’s how I described it: ‘Pathetic GDP Report Signals Death Knell for Hopenchange-Onomics’.

  4. Americaneocon
    August 27th, 2010 @ 12:09 pm

    Actually, here’s how I described it: ‘Pathetic GDP Report Signals Death Knell for Hopenchange-Onomics’.

  5. William
    August 27th, 2010 @ 4:17 pm

    Only a fool doesn’t realize that the tax increases are too close at this point to do anything but “stock for winter.”

  6. William
    August 27th, 2010 @ 12:17 pm

    Only a fool doesn’t realize that the tax increases are too close at this point to do anything but “stock for winter.”

  7. Roxeanne de Luca
    August 27th, 2010 @ 5:03 pm

    AmericanEcon beat me to it: this is the Dem’s last chance for November, and it’s slipping through their fingers.

  8. Roxeanne de Luca
    August 27th, 2010 @ 1:03 pm

    AmericanEcon beat me to it: this is the Dem’s last chance for November, and it’s slipping through their fingers.

  9. wormme
    August 27th, 2010 @ 5:06 pm

    Hey, they didn’t say “unexpectedly” downgraded!

    That was unexpected.

  10. wormme
    August 27th, 2010 @ 1:06 pm

    Hey, they didn’t say “unexpectedly” downgraded!

    That was unexpected.

  11. indy jones
    August 27th, 2010 @ 6:15 pm

    I’m stocked for winter and well on the way to stocking for zombies. The ruling class is screwed.

  12. indy jones
    August 27th, 2010 @ 2:15 pm

    I’m stocked for winter and well on the way to stocking for zombies. The ruling class is screwed.

  13. Estragon
    August 27th, 2010 @ 7:51 pm

    Last night on Fox, A.B. Stoddard, who whores or “reports” for “The Hill” claimed all this bad economic news was “expected.” I screamed at the set – “Then WHY is every bad report labeled ‘UNEXPECTEDLY’??”

    Naturally, the gutless ‘ho’ ignored the question.

    I don’t know why they feel the need to have these leftist apologists for “balance.” If they want real “balance” they could have citizens beating up union thugs with baseball bats.

  14. Estragon
    August 27th, 2010 @ 3:51 pm

    Last night on Fox, A.B. Stoddard, who whores or “reports” for “The Hill” claimed all this bad economic news was “expected.” I screamed at the set – “Then WHY is every bad report labeled ‘UNEXPECTEDLY’??”

    Naturally, the gutless ‘ho’ ignored the question.

    I don’t know why they feel the need to have these leftist apologists for “balance.” If they want real “balance” they could have citizens beating up union thugs with baseball bats.

  15. Obi's Sister
    August 27th, 2010 @ 10:54 pm

    “Unexpected” ungrowth…

  16. Obi's Sister
    August 27th, 2010 @ 6:54 pm

    “Unexpected” ungrowth…