whidbey

ECRI WLI Growth Rate at Lowest in History

This is more or less expected given recent data on this series. What it means is very hard to speculate about. Growth is critical to the economy since it seems to be either growing or retrenching, little stable middle ground. The petty is that Treasury and Fed policy have not targeted consumer demand by providing for stabilization of the housing decline. Some sort of a chapter 11 for consumers where a court could set aside a mortgage (in part) on condition that when the reality was later sold the seller would repay the set-aside. Something of that nature might stop or slow the collapse. Now jobs? We need industrial export jobs, not public sector. This seems intractable in the short run. Does it mean a long run down turn? How does it turn? I can not see the answers if indeed there are any.