Forecasting the Economy

Written by Steven Hansen My weekly post is a break from my daily analysis of the economic data that streams from the various government agencies and private industries. I use this space to expand upon what I have seen or comment on an economic misconception or even explore a new topic. I believe everything is …

Is US Debt Caused by the Trade Imbalance?

Written by Steven Hansen ….. the fiscal (government) deficit in the US cannot go away unless we also deal with the trade deficit. As we will see, it is a simple accounting issue, and one based on 400 years of accepted accounting principles.  –  John Mauldin Trade deficit is currently a headwind to GDP.  This …

Visualizing the Fiscal Cliff As a Life Extinction Event

Written by Steven Hansen [This post is loaded with sarcasm] A meteor coming towards the US East Coast is unlikely to stir up more headlines than the Fiscal Cliff – expiring tax cuts and forced spending cuts “destroying” America if Congress and the President cannot agree on taxation and spending. Per the Congressional Budget Office …

Making The Economy Grow by Adding More Debt

Written by Steven Hansen I pen this while listening to the pundits talk about the terrible economy moving forward.  I too think the USA economy going forward will be mediocre at best.  This week ECRI has stated the recession began in July pointing to recession markers (peaks in certain significant broad measures). Has the recession …