Econ70

March For Jobs

04/04/2013

March employment numbers come out tomorrow and they will disappoint. ADP reported weak private sector job growth numbers yesterday, first time unemployment claims that came out this morning and were on the high end and sequestration will probably knock off…

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Building on Housing

04/03/2013

As if more proof were needed that home building is rapidly improving, and that production builders are the biggest winners, Taylor Morrison plans an IPO to take advantage of the run-up in home builder stock prices. The planned IPO will…

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Week is Strong

04/02/2013

Personal income rose 1.1%, consumer spending jumped a robust 0.7%, the Fed’s preferred inflation gauge rose just 1.3% over the past year, consumer confidence increased, GDP for Q4 was revised up by 0.3% and house prices rose 8% year-on-year! But,…

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Happy April Fool’s Day!

04/01/2013

In an effort to lessen the impact of the sequester on federal spending, the Interior Department will be selling corporate sponsorships to national parks. The first trial sponsorships include the Marlboro Great Smokey Mountain National Park in TN, the Skippy…

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Punching Ahead

03/29/2013

The Friday File: In an attempt to reduce concussions, the International Boxing Association will prohibit the wearing of headgear in competition! Absent helmets, it’s hoped boxers will refrain from using their heads as weapons, will have improved peripheral vision, and…

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Gay Gains

03/28/2013

Recognizing gay marriage would reduce, yes reduce, federal spending by about $500 million/year. While that’s just two-hundredths-of-one-percent of annual federal spending, it helps. Spending will fall because generally fewer married couples qualify for (means-tested) entitlements such as welfare, Medicaid, Medicare,…

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Builder Sediment

03/27/2013

Home builder sentiment recently fell for the second straight month despite a booming housing sector. This is probably because small builders face increasing difficulty finding lots, spec loans are still largely off limits, lumber prices have doubled, and labor shortages…

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Wishing for Wages

03/26/2013

While the economic recovery will soon enter its fifth year, wage growth is invisible. In part, it’s because unemployment is high, but also because more and more jobs are in leisure/hospitality and retail. These two sectors now account for 21%…

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Happy Housing

03/25/2013

Between 1998 and 2002, before the housing market went haywire, total housing starts averaged 1.65 million units and the population of the US averaged 282 million persons. Over the next five years the US population will average about 320 million.…

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McIndex

03/22/2013

The Friday File: Based on the idea that exchange rates and prices eventually adjust to make the same thing equally priced the world over, the Big Mac Index was created. In Norway, a Big Mac is $7.84, in Switzerland $7.12…

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