2) The extent and duration of quantitative easing, term financing and fiscal stimulation efforts are keys to future investment returns across a multitude of asset categories, both domestically and globally.
3) Investors should continue to anticipate and, if necessary, shake hands with government policies, utilizing leverage and/or guarantees to their benefit.
4) Asia and Asian-connected economies (Australia, Brazil) will dominate future global growth.
5) The dollar is vulnerable on a long-term basis."
The administration predicts that while GDP--a measure of all goods and services produced in the economy--will shrink 2.8 percent this year, it will begin growing again sharply by 2011, reaching 4.3 percent by 2012 before leveling out at around three percent through 2019.
However, data from the federal Bureau of Economic Analysis (BEA) suggest that this may not turn out to be the case. While the economy typically rebounds after a recession, it rarely maintains that higher level of growth.
Gary North- Deficits WILL Matter
The Office of Management and Budget has released its annual mid-session review that updates the budget projections from this past May. They show that this year, Washington will spend $30,958 per household, tax $17,576 per household, and borrow $13,392 per household.
Think about that. For every American household – about a hundred million – the Federal government will spend $31,000.
Wait a minute. The typical American household makes about $46,000 a year. Are we to believe that the Federal government will spend, in the name of the American people, $31,000 per household? That each household will be taxed – income taxes, Social Security taxes, corporate taxes, etc. – $17,000? That is what the figures say. Dividing $46,000 by $17,000 is 37%. Can that be possible? Add to this another $13,000 in debt. That is what the government's statistics report. Anyone who thinks an extra $13,000 in household debt doesn't matter is living in la-la land. This includes economists.
I am thinking he is back on the Cocaine I wouldn't think that someone smoking a little Mary Jane would be as far gone.