Economic recovery is stalling, estimates mean nothing really.

The seasonal adjustments and GDP “growth “of 5.7% based on inventory will be revised down. Of course, the market does not care because they price in good news and then continue to defy the laws of gravity on bad news. People around the country continue to default on personal debt at astronomical rates and expect the rest of society to pick up the bills for their profligacy. Everyday thousands from America’s middle class fall out and join the ranks of the poor. Instead of letting the standard business cycle run and clear out the bad waste, the asinine business investments we continue to push failed Keynesian economic policy in Washington and listen to a tax cheat and incompetent fed chairman.

Real unemployment stands at 17.3% and the Congress continues to extend eligibility for unemployment benefits, apparently oblivious to the truth that when you subsidize something you get more of the same. Average household debt is still hovering around 30% HIGHER than it was a decade ago, so the deleverging process has a ways to go before consumers start spending again. Of course, with a society that has been brainwashed with a take-for-granted mentality, and unable to pull the hard numbers off government websites, I could be wrong about consumer spending. The only recovery is stocks on Wall Street so the titans who pull all the strings can sucker every last 401k participant back into the markets and then tank them again. This is nothing but inflated optimism and members of the media and the government are once again celebrating long after the champagne has gone flat.

Unless the Obama Administration runs hard at these TBTF institutions they threaten to wreck the “recovery” and cause another crippling economic downturn. The horrors of Bernanke’s monetary policy aside, fiscal policy cannot stimulate the economy into a quasi-boom as Keynes preached. It is projected in 2015 that interest payments on national debt will total $530 billion! Of course that does not matter it’s all about right here right now…. I can sympathize with every single person who has lost a job and those who have had hours cut and taken pay cuts. If we are going to “recover” how about putting in policy’s that actually might give this economy a fighting chance? The president can talk all the wants about recovery but Obama’s policies contradict his words. In fact, what his administration is doing will ensure massive unemployment and endless economic stagnation for the future. In the wake of disaster, we are reminded that life can be unimaginably cruel. Sadly, the current economic policy being pushed in Washington guarantees that America’s middle class’s future remains in question.

- ImpendingDoom

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