The Associated Press reports in a story dated 12/6 the economy is firing on almost every cylinder except jobs. Factories are busier, incomes are rising and the holiday season is shaping up as the best in four years. Some economists dismissed the November job numbers as a technical fluke and think the numbers will be revised up later. ( This writer predicted the same thing in a recent post a few days ago. )
Goldman Sachs revised its gloomy forecast of a 2% increase in the GDP in 2011 to 2.7% and then forecast a 3.6% growth for 2012. ( These numbers are close to the numbers I predicted in the same post alluded to above.) Chief economist James O'Sullivan at MF Global says the upward momentum of the economy has traction. In fact Mr. O'Sullivan asked, which are you going to believe, one month of payrolls or all the other data.
Jack Kleinhenz, chief economist at the National Retail Federation said we've had a unique recession and therefor a unique recovery. Others pointed out that the conditions were so bad it turned a normal recession into the worst recession in 70 years.
Readers of politidose know that in past posts I spoke about the severity of the recession and the loss of jobs and it would take time for the recovery. Those who had an axe to grind were blinded by their own folly, like the republicans and their ideology that triggered the economic meltdown.
The policy and steps the Obama administration has taken are working and the economy is getting where it should be. Slow job growth should have been expected and the fact of the matter job creation is getting better and will continue to do so. Once again it will be a democratic administration that turned the economy around and once again without any help from the republicans or their party. Republicans still have no positive record on the economy or job creation.
