Econ70

Awful Autos

03/05/2019

A record 7 million Americans are 90 days or more behind on their car loans. While more than 5.8 million were delinquent during the Great Recession, as a percentage of auto loans outstanding, today’s rate is 4.5% vs 5.3% at…

Good GDP

03/04/2019

US GDP grew at a strong 2.6% annualized rate in 18Q4, resulting in CY2018 GDP growth of 2.9%, and growth of even 3.1% if comparing 18Q4 from a year earlier. However, no matter how measured, growth is slowing. It was…

Perfectly Periodic

03/01/2019

The Friday File: This week, the Periodic Table celebrates its 150th birthday. In 1789, Antoine-Laurent de Lavoisier (who was beheaded in 1794) first published a list of 33 elements thought to be incapable of being broken down. However, it was…

Payment Process

02/28/2019

In 2017, the latest year for which data are available, debit and credit cards accounted for 62.3% of all payments by dollars spent, up from 53% in 2012. Next was cash at 15.5%, down from 19%. Electronic payments that completely…

Housing Hit

02/27/2019

December housing starts came in at a seasonally-adjusted annual rate of 1.08 million; the worst level since 9/16! Worse, starts for October and November were revised down. However, CY2018 starts were up 3.6% compared to CY2017. Moreover, rates have fallen…

Delivery Decline

02/26/2019

In 2018, there were 3,853,472 births, the lowest level in 30 years, and the fertility rate was 60.2/1,000 women aged 15-44, a record low. For those 15-19, there were 18.8 births/1,000, another record low. As for abortions, in 2013, 958,700…

Dismal Deal

02/25/2019

The Green New Deal’s plan to upgrade all buildings to “maximum energy efficiency” will cost about $285/ton of CO2 removed. To achieve 100% renewable energy in 10-years is minimally expected to cost $85/ton of CO2 withdrawn. For comparison purposes, power…

Ordinary Oscars

02/22/2019

The Friday File: Last year, the Oscars were viewed by 26.5 million persons, the lowest viewership total this century. Since 2001, viewership peaked in 2014 at 43.7 million. That year capped a 14-year run where viewership averaged 39.5 million. It’s…

Rate Realities

02/21/2019

If 2019 real GDP growth is 2%, inflation holds at 2%, and unemployment falls no lower than 3.7% such that Y-o-Y wage growth stays around 3%, the Fed keeps rates unchanged. If growth rises above 2.3%, and unemployment falls below…

Thoughtless Taxes

02/20/2019

A marginal tax rate of 70% on income over $10 million would raise about $380 billion between 2020 and 2029. But if changes in taxpayer behavior are accounted for, revenue falls to about $350 billion. Assuming high-income owners of pass-through…

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