03 Feb 2012

Posted at 12:00h in The Friday Brief by
It has been a busy week for news on the economy and most of it has been good. The best comes today with news that unemployment in the US has fallen to a three-year low of 8.3%.Payroll jobs grew 243,000 in January following gains of 203,000 December and a 157,000 rise in November. The averages for workweek and hourly earnings improved which will continue to propel consumer income growth which got a bump first of the week

03 Apr 2009

Posted at 16:33h in The Friday Brief by
There are two categories of policy available to the government to influence an economy; monetary and fiscal. Fiscal policy employs government spending and taxation. Monetary policy, primarily overseen by the Federal Reserve and the Treasury is used to control and manipulate the supply and the cost (interest) of money in order to regulate the growth in the economy and the stability of prices. Of the nearly $12 trillion lent, promised and spent so far, Fed Chair Ben Bernanke’s program to drive down mortgage rates is delivering on its promise. Fixed 30-year mortgage rates are now down to 4.78% according to Freddie Mac. They are down for the second week in a row.

20 Feb 2009

Posted at 14:13h in The Friday Brief by

"Those who cannot remember the past are condemned to repeat it."George Santayana, in The Life of Reason 

“Common sense is very uncommon.” Horace Greeley

There seems to be a sense in Washington in this time of crisis that the rules of ordinary behavior of most any kind simply don’t apply. Whether observing economic behavior, spending behavior, fiscal behavior, monetary behavior, political behavior, or what used to be generally acceptable and responsible behavior, it’s all up for grabs these days. Didn’t we get into this mess by abandoning the ordinary rules of lending and of borrowing and regulating?

16 Nov 2001

Posted at 15:53h in The Friday Brief by
On Tuesday of this week the government announced that U.S. retail sales rose more in October than in any month in the government's 10 years of record-keeping.  Consumers spent money at auto dealers, department and discount stores, and building supply outlets.  Sales surged 7.1%, almost three times analysts' expectations, after falling 2.2% in September. The Commerce Department's report also showed sales excluding a record increase in purchases from car dealers rose 1% after falling 1.5% in September. The rise in vehicle sales was a result of no-interest financing offered by automakers.  General Motors has announced a continuation of their 0% program through January 15th.