me:
> I think the puzzle is solved when we realize that the stats aren't > very good. I think the fourth quarter 2006 stats for the US will be > much worse when the final estimates come out.
Doug Henwood wrote:
Why? What's the source of the error?
I don't know exactly, but nominal spending fell even as real spending rose.
> It's quite likely that > 2007 will be a recession year. Consumer spending can't keep the US > economy going much longer. Of course, I could be wrong about 2007, but > if I am, it just pushes the problem back into 2008, which means a > steeper recession. And then what? More recession, or another recovery/expansion?
eventually a recovery/expansion (after consumer debts and other depressive forces are worked off). The business cycle won't be abolished until there is a qualitative change in the system of production. -- Jim Devine / "The truth is more important than the facts." -- Frank Lloyd Wright
