Revised 2007 Q4 GDP Remains at Paltry .6%
Thursday February 28, 2008
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The BEA reported that the preliminary U.S. GDP growth for Q4 2007 remained at the dismal .6%, just as it was ... Read More
Recession and Depression - Definition, Causes and How to Prepare
Wednesday February 27, 2008
Many readers have asked me the difference between recession and depression. They also wonder whether we are in a recession or depression now, or if we are heading towards one.
To ... Read More
Has Housing Bust Bottomed Out?
Tuesday February 26, 2008
David McNew /Getty Images
January's existing home sales rate was 4.9 million - its lowest level in 10 years and down 23% from a year ... Read More
What Caused the Subprime Mortgage Crisis?
Monday February 25, 2008
In response to Understanding the Subprime Mortgage Crisis, a reader asks:
You didn't say a word about why this whole thing happened. Banks do
not normally lend to people who are ... Read More
HOPE NOW to Help One Million Subprime Mortgage Holders
Sunday February 24, 2008
A reader asks:
At the first of the year there was much talk about the government locking the
adjustable rate mortgages for 5 years. ...I haven't heard anything else about the
proposal and ... Read More
Clinton and Obama's Protectionism Won't Help U.S. Workers
Wednesday February 20, 2008
Both Democratic Presidential candidates Hillary Clinton and Barack Obama promise to restrict free trade agreements, which they blame for the loss of U.S. jobs due to outsourcing.
Senator Clinton wants to ... Read More
Why the Budget Deficit Is Closer to $500 Billion Than $168 Billion
Tuesday February 19, 2008
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The U.S. Treasury reported that the FY2007 Federal budget deficit is $168 billion, less than the last year's deficit on $248 ... Read More
U.S. Debt Jumps by $500 Billion
Monday February 18, 2008
Bruno Vincent /Getty Images
The U.S. Debt is now at $9.2 trillion. This is $500 billion more than last year, and a 50% increase since ... Read More
President's Economic Report Unusually Pessimistic
Sunday February 17, 2008
Usually, the annual Economic Report of the President is steadfastly upbeat. Handpicked by the President, the Council of Economic Advisors can usually be relied upon to produce a thoroughly researched, ... Read More
U.S. No Longer World's Largest Economy
Tuesday February 12, 2008
In 2007, the U.S. lost its seat to the European Union as the world's largest economy. The EU's economy produced $14.4 trillion in goods and services, while U.S. GDP came ... Read More
How Will the Tax Rebate Plan Affect You?
Monday February 11, 2008
Last week, Congress passed the $168 billion economic stimulus bill, which includes $150 billion in tax rebates. The rebate checks will be mailed out to taxpayers, in amounts as follows:
Individuals ... Read More
How Would the Fair Tax Impact the Economy?
Thursday February 7, 2008
The Mike Huckabee economic platform calls for replacing the income tax with a sales tax. This is also known as the Fair Tax plan. With tax time coming up, eliminating ... Read More
Do Tax Cuts Lead to Budget Deficits?
Wednesday February 6, 2008
Some readers disagreed with my assertion in that tax cuts will lead to budget deficits, if the lost revenue isn't balanced by a decrease in spending. (See Compare the 2008 ... Read More
During a Recession/Depression, Is My Money Safer Under the Mattress?
Tuesday February 5, 2008
A reader asks:
The recession/depression has left many elderly people very concerned. I have two questions:
Should I remove my savings from banks (place in mattress) so to speak?
Will the Feds replace ... Read More
Foreclosure Rate Double That of a Year Ago
Monday February 4, 2008
David McNew /Getty Images
RealtyTrac reported that the rate of foreclosure filings in December 2007 were 97% that in December 2006. The total foreclosure ... Read More
Compare the 2008 Presidential Candidates on the Economic Issues
Sunday February 3, 2008
The economy has become one of the most important issues of the 2008 Presidential election. Each candidate has provided a short-term economic stimulus plan, and their long-term economic platform.
These plans ... Read More
January Employment Decline Further Signal of Weak Economy
Friday February 1, 2008
Tim Boyle /Getty Images
In January, the economy lost 17,000 jobs, according to the Employment Report released by the Bureau of Labor Statistics (BLS). Generally, ... Read More