You must read this short article by Ludwig von Mises on savings and capital. This topic is absolutely critical to an understanding of what is happening in our economy today. He wrote this in 1963 for the Freeman and has been republished in the collection, Economic Freedom and Interventionism (1980).
What I love about him is that he writes [...]
Whenever MSM business reporters say something they want to say, it comes out as “economists say …” and then they find an economist who agrees with their point. What you are getting in those stories is the basic conventional wisdom which has been fatally off the mark.
So when I read the Bloomberg story this [...]
Two very important manufacturing reports came out today: The ISM manufacturing report for the U.S., and Markit’s manufacturing PMI for the eurozone. Both reports showed substantial weakness in manufacturing.
The ISM Manufacturing Index for August, 2011 was the same as July, which is to say flat, right at the 50 level (50.6).
According to [...]
This is the “stagflation” we have been telling you about (graphics courtesy WSJ). It’s not a rough patch.
Retail sales figures from the Census Bureau reported modest increases for the month of July:
U.S. retail and food services sales for July … were $390.4 billion, an increase of 0.5 percent (±0.5%) from the previous month, and 8.5 percent (±0.7%) above July 2010. Total sales for the May through July 2011 period were up [...]
Retail sales are coasting along rather than bouncing along, as the latest numbers continue to show flat growth. The Census Bureau’s report today shows a 0.1% gain over the previous month. That is close to the margin of error of ±0.5%. For the year retail sales are up 8.1% (±0.7%) above June 2010. The gain, if [...]
Unemployment climbed again according to today’s report from the BLS. The unemployment rate increased to 9.1% from 9.0% and payrolls were up a disappointing 54,000 jobs. The Wall Street Journal’s panel of economists were predicting that unemployment would decline to 8.9% and that jobs would increase by 160,000. This is the smallest job gain in a [...]
This weeks jobless claims came in with another positive showing: down 5,000 to 382,000. The four week moving average showed a 15,000 per month decline.
Continuing claims are also posting the best readings of the recovery, down 2,000 to 3.721 million in data for the March 12 week. The four-week average of 3.755 million shows [...]