Not Just Black and White "Change in consumer Behavior"
>>The focal point for us was the -0.2% decline in PCE for 2008 versus 2007. That doesn't amount to much at first glance, but it really speaks volumes about the weakened state of the U.S. consumer in the wake of the simultaneous crashes in the housing, stock, and labor markets.
Table 7B lends some real color to this black-and-white number for 2008. It presents a breakdown of the changes in real GDP from the preceding year, dating back to 1959.
What one will see in this table is that the -0.2% decline in 2008 for PCE was the first decline in 28 years!
Table 7B lends some real color to this black-and-white number for 2008. It presents a breakdown of the changes in real GDP from the preceding year, dating back to 1959.
What one will see in this table is that the -0.2% decline in 2008 for PCE was the first decline in 28 years!
That's right. You have to go all the way back to 1980 to see another minus sign next to the change in PCE from the preceding year. Sure enough, this is almost the same time the personal savings rate went into what looked like a permanent downturn. <<<
GANDER where 02'-03' turned up from, the CONSUMER came back with a VENGEANCE......the data I am pouring over is telling me the exact OPPOSITE this time, so we are to believe thatthe GOV can take the place of the Consumer? The 6 MILLION unemployed? the 16% underemployed? By giving away even more of our money to the financials? for klunkers?
With stocks near record valuations, only continued GS and friends manipulation keeps this thing going, but up til now betting against them has been painful.
D
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