Last week, HUD reported that seasonally adjusted annualized new home sales hit 490,000. While up, the last time new home sales were this low before the Great Recession was in 9/91. Moreover, new home sales hit their all-time low of…
Large firms exist because they solve two problems. The first, the ability to internally perform activities more efficiently than smaller firms can, even when markets assist in interfirm product trading. The second, the ability to transform time. Banks take in…
In 2014, 26.3 million natural Christmas trees were purchased, down from 33.0 million in 2013, while 13.9 million manufactured trees were bought, down from 14.7 million in 2013. The average price was $39.50 for natural trees and $63.60 for plastic…
Cash home sales were 32.5% of all transactions in September, down from 35.9% 12 months ago. Cash sales peaked in 1/11 at 46.6% and have historically averaged 25% of sales. At the current rate of improvement, cash transactions should return…
In 2014, federal, state and local government tax collections totaled 26% of US GDP. The average rate across the 34 most highly developed nations is 34.4%. The USA was fourth lowest in the level of taxation, ahead of only South…
The Friday File: According to a Washington University professor, if one were to assume Emperor Palpatine was fiscally conservative, destroying the second Death Star and with it the Galactic government, the Rebels probably caused bond defaults of $500 quintillion. Absent…
China’s wish to peg the yuan to a basket of currencies and not just the dollar is an attempt to weaken its currency, but the strengthening dollar makes the task harder. To keep the existing peg, China’s central bank (PBoC)…
Earlier today, the Fed raised the fed funds rate by 0.25%, the first rate rise in almost a decade and seven years to the day since rates first hit zero. The S&P 500 jumped almost 1.5% and long bonds barely…
While the Chinese economy is cooling, Chinese buyers are pouring into US real estate. In 2015, their $30 billion in purchases will equal all purchases by Canadians, Indians, Mexicans, and the British, the next four most popular nationalities. Chinese buyers…
Given that consumer spending accounts for two-thirds of GDP and retail sales account for one-third of that, the 0.2% rise in November retail sales was superficially disappointing. But Y-o-Y inflation is zero! Were inflation just 2.3%, retail sales growth would…