by Rick Davis, Consumer Metrics Institute
In their second estimate of the US GDP for the second quarter of 2016, the Bureau of Economic Analysis (BEA) reported that the growth rate was +1.09%, down -0.12% from their previous estimate but up +0.26% from the prior quarter. None of the revisions was statistically significant, with the largest line item revision (governmental spending) changing by a mere -0.11%.
August 26th, 2016
in eurozone and euro
by Elliott Morss, Morss Global Finance
Ever since I started covering the plight of Greece in 2010, I have believed that the ultimate resolution for Greece and other “weak sister” countries would be to go back to their own currencies. Why? The short answer: depreciation of their own currencies would compensate for productivity differences between them and countries using the Euro. And here, there is an analogy with the US and Japan. To neutralize Japan’s productivity edge in the ‘70s, the dollar has weakened from more than ¥300 to the current 100¥ to the dollar.
August 24th, 2016
Written by John Lounsbury
The concept used in economics for a "depression" is inexact and in conflict with the physical definition of the term. We will propose an analytically precise definition of the term and show a number of examples of how the new definition works in examining the business cycle.