The Commerce Department this Friday tells of an economy still stuck in neutral. Growth at a annual rate of 2.4%. That is down from the two previous quarters.
Exports have increased, but imports have increased even more. So, we are still working with a balance of payments deficit.
The standard solution to the recession, for many, is to rely on the activation of the consumer. But the consumer is trying to get his own house in order. The recession has forced the consumer to practice denial of some of the material luxuries of life. We cannot count on the consumer. That dog won’t hunt no more.
The Commerce Department needs to start worrying about their figures when the local and state governments start practicing the same frugality as the consumer.