It sounds like a hit song, a political ballad of sorts. I hear a bad tune.
The United States economy contracted by 0.1% in the last quarter of 2012. Forecasters expected a 1.1% growth. This follows a 3.1% growth in GDP in the third quarter of 2012 making it a significant decline.
The left will use the argument that the stock market is at some of its historical highs. Here is the correct answer to rebut that. The stock market is NOT a direct correlation to the United States economy. It is a reflection of the growth of wealth in the global economy. Don’t think Europe which has its own set of economic problems, think worldwide. Investment in the markets moves where the best chance of good return exists.
Ben Bernanke got one thing right in the fall of 2012 Federal Reserve meeting in New York City. United States economic growth in 2013 will be low and slow.
Fire up the printing presses.
How does this matter to you? Just go to the grocery store or the department store.