US Economy grows in the last Quarter….

Add this to Housing prices on th rise and we have a Economy rising…..

…from Bloomberg…..

The economy in the U.S. grew more than projected in the second quarter, reflecting an unexpected pickup in inventory building as consumer spending cooled. Growth in the previous three months was revised down.

Gross domestic product, the value of all goods and services produced, rose at a 1.7 percent annualized rate, after a 1.1 percent gain the prior quarter, Commerce Department figures showed today in Washington. The median forecast of 85 economists surveyed by Bloomberg called for a 1 percent advance for last quarter. Consumer spending, the biggest part of the economy, climbed 1.8 percent after increasing 2.3 percent.

Job gains and rising home prices are shoring up Americans’ confidence and lifting automobile sales and production, making it likely the U.S. will pick up once government spending cuts and tax increases pose less of a restraint. The report also showed inflation is falling further below the Federal Reserve’s goal as official wrap up a two-day meeting today to determine whether to trim monthly bond purchases aimed at spurring growth.

“The outlook for the second half is that growth gets stronger as the fiscal drag fades,” said Harm Bandholz, chief U.S. economist at UniCredit Group in New York, who predicted 1.8 percent growth. “We have an economy that’s recovering from almost stagnating in the fourth quarter of last year. The consumer is looking resilient, though a bit weaker.”

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12 thoughts on “US Economy grows in the last Quarter….”

  1. Our local right wing radio shock jock proposes a great idea to keep the economic recovery going.

    Firing all the fast food workers who have the gall to ask for for money and replace them all with robots.

    I’m sure putting millions who spend every penny they have on basic needs will have a GREAT impact on the economy!

    I called in and suggested that why stop there? Why not automate the job of CEO?

    Save these companies millions of dollars!

    Of course he wasn’t down with that and cut me off so he could make some sort of proclamation on how wise these CEOS are.

    Too bad he didn’t keep me on the line. I was going to suggest that his job as a right wing radio hack could be replaced by a monkey typing in your boilerplate anti-Obama and far right talking points into a voice activated computer!

    Hey we’re all interchangeable!

    The point is these people have shown a complete disdain and almost outright HATRED of those who work some of the lowest paid and lowest regarded jobs in this country

    I’m not just talking about fast food. Janitors, bus drivers, landscapers.

    If you listen to these hacks they pretty much think they are all scum.

    I’d like to see them try and live in a society without these folks they disdain to cook for them, clean for them and empty their bedpans.

    It would serve them right!

  2. CEOs are the most overrated part of the American economy.Most of their jobs could be done by an average Business major graduate from any state university.

    Sort of basball and football coaches,a dime a dozen.Company does good for awhile theyre genuises,Company hits hard times, theyre bozos.Truth is they are neither.As with sports teams we have elevated a CEO to a totally undeserved spot in the actual working of American companies.

    Grossly ovepaid.Even the best ones.

  3. Cf. Governors Mitt Romney (R-Mass., 2003-06) and Don Carcieri (R-RI, 2003-2010).

    Romney was CEO of Bain Capital and Carcieri, President of Cookson America (HQ, Providence), until its parent company (Cookson Worldwide) consolidated its subsidiaries.

    After a promising start handling a crisis just weeks into his first term, The Station night-club fire in West Warwick that killed a hundred and hospitalized a hundred more, Carcieri’s administration was noted for ideological leanings (for Romney & Geo. W. Bush) that are unusual in Rhode Island governorships combined with a staggering amount of incompetence.

    Examples were demolishing an overnight emergency homeless shelter (the Welcome Arnold Center) in Cranston, when other shelters were already overloaded, to make room for a State Police barracks that was never built; trying to save money by merging older juvenile prisoners into the adult prison population (stopped when it turned out to be more costly rather than less); and having no adequate response team (with Dem. Lt-Gov. Elizabeth Roberts frozen out) when the state was hit by a highway-closing blizzard while the Governor was flying between Iraq and Afghanistan to visit RI Natl Guard, Reserve and Regular troops. Everyone left work and school at the same time (repeating an earlier mistake from the Blizzard of ’78 that should have been learned from), about 3 p.m., with the result that some school buses with elementary students were stranded in traffic for up to eight hours. Providence Mayor (now Cong.) David Cicilline, who appointed the city’s School Committee, did equally poorly in that incident.

    But Rhode Islanders are still both astonished and angry at super-CEO Carcieri while having to deal with over a hundred million dollars in bad debt left by the bankruptcy of Curt Schilling’s 38 Studios (a failed, neophyte maker of video games).

    The RI Economic Development Corporation, appointed by the governor, issued $75 million in Moral Obligation bonds (to be increased by accrued debt service and interest) to fund Schilling’s startup, lured from Massachusetts when the Bay State had sense enough not to make such a shaky investment. But 38 Studios never had the earnings or the resources to make any significant repayment on the guaranteed loan and only a small part was salvaged by liquidating the company’s physical and intellectual assets.

    The very Democratic state legislative leadership, following not-unfamiliar practices, increased the state’s budget for economic development guarantees from $50 million to $125 million without telling the members that instead of helping several dozen more small businesses to expand, invest and hire, that extra $75 million was being gambled on a single firm. (Lincoln Chafee, then an independent former U.S. Senator considering running for Governor, opposed the deal and tried to attend some EDC meetings to say so.)

    What’s apparent now is that far from having some super business acumen from his leadership of a significant corporation, Don Carcieri overrated his own judgement (as he did when picking incompetent staff to replace the able folks who’s served his GOP predecessor Lincoln Almond from 1995 to 2002) and fell for the glamour, friendship and bonhomie of The World-Series Winning Pitcher with the Bloody Sock who had a dream but no practical business plan.

  4. CEO’s get paid often for Risk
    The company goes two quarters no share payout
    No CEO

    AND YEA
    MOST are overpaid

  5. You have stated the conventional wisdom for sure.

    However, I would argue that CEOs have ,in effect, become the unofficial American nobility.A class receiving money no matter their level of intelligence or competence.P

    “Risk?” thats tge mantra of course but

    Please!

    Even when these “executives” drive their companies. into oblivion,they escape ith Millions incompensation(remember AIG?)

  6. He, he , he

    That’s the point you make
    CEO ‘s are able to control the money and compensation, eh?
    Once you obtain that status
    You make SURE you sign on for generous EXIT package….

    But the ego?
    Getting sent out the door in the WSJ?

  7. Ok

    So wheres the”risk?”

    A bad one day story in the WSJ?

    i concede,however , that the Americn people have always been enmored of the CEO species.Indeed, Mitt Romney tried to parlay his status as an ex CEO into the White House!

  8. As I mentioned
    A bad quarter or two and you could be out of a job
    Misdeeds within the company could be no job
    Problems with the board also
    Ya have no union to cover your tail
    Your right
    These people get paid
    But their jobs CAN entail risk

  9. Yeh tell that to the poor shmuck tryin to feed a family on a couple of thou a month.

    Boy you buy the CW right down the line!

    And “unions?” How 1960ish of you.

    Like a guy exiting with ten or twelve Mill needs someone to “cover his butt?”

    Next thing you know youll be calling them “jobs creators” like John Boehner!

  10. That was the big fright put into the Executive Class by Sarbanes-Oxley: boards of directors would be held responsible for exercising judgement on behalf of their companies and shareholders (rather than on behalf of management).

    The most recent 500 issue of Fortune had an article recounting how different things have become for directors who now have to work fairly hard for their stipends.

    Of course, when non-executive directors represented the owners’ interests because the directors themselves had significant capital and earnings at risk, things were different. The penalties for laxity and complacency came out of their own estates and bank balances.

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