These are the most recent St Louis FED Recession Comps. They tell a powerful tale that we are still mired in a long term mess. Recall that employment looks good only because we lowered the denominator, namely the workforce. That means we have permanently removed 6 million people from doing anything productive. Why? Lots of answers but like terrorism if we fail to identify it and call it what it is then it will never go away. But the current Administration eschews such acts.
First Production is not bad. It follows the average growth from a Recession and looking at this things may seem fine.
Now the above is Income growth. It is horrible, there is NONE. We have given a new bottom to Income.
Employment is rock bottom as well, and this only looks slightly better because of the elimination of people from the work force.
Retail Sales is on par, most likely driven by Government support via Income Transfers.
The GDP growth is also rock bottom. We may have some growth but relative to all other Recessions we are below them for the past 10 Quarters!
Now for the GDP elements we show them below in toto.
Personal Consumption is low. Government Consumption is also low. They are the two laggards. The others seem fine. Overall we still appear to have a concerned private sector and Washington seems to neglect it.
Posts
