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Jase

Economy Shrank 0.1% in the 4th Quarter

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He's probably talking about defense industry layoffs and reductions in preparation for sequestering. Remember the layoff notices that Obama asked military vendors to keep quiet until post-election?

http://abcnews.go.com/blogs/politics/2012/10/at-white-house-request-lockheed-martin-drops-plan-to-issue-layoff-notices/

Things like that...despite breaking the WARN act. Change...Chavez...whoops Obama loves change.

But Obama's job council has got this...

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The jobs council that has not met in almost a year? oh government....

More KISS CAM!! yayy

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Meanwhile in Texas.

.

AUSTIN, Texas (Reuters) - Texas Governor Rick Perry on Tuesday called for returning excess tax money to taxpayers and tapping the state's rainy-day fund for water and transportation infrastructure.

Perry, 62, the longest-serving governor in the nation at just over 12 years, touted the success of Texas in creating jobs and luring companies to the state.

The Republican called for changing the constitution of the state, the nation's second most populous, to allow the return of tax money to the people who paid it when the state brings in more than needed.

"We've never bought into the notion that if you collect more, you need to spend more," Perry said in his state of the state address, which he delivered to a joint session of the Texas House and Senate.

What a contrast to the democratic controlled disaster that is California.

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But as a whole the government spent $908 billion in Q4, compared to $877 billion in Q3.

http://www.fms.treas...mts/mts1212.pdf

Fair enough.

A true retraction/recession isn't going to happen until people stop spending money and companies start laying off people. And home prices drop etc... Consumer spending is just fine so we should not be worried.

The shrink in the economy last quarter is basically random noise in the process.

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But as a whole the government spent $908 billion in Q4, compared to $877 billion in Q3.

http://www.fms.treas...mts/mts1212.pdf

Strange. I keep reading articles that say government spending dropped.

Government spending tumbled at a 6.6 percent rate, as defense outlays plunged at a 22.2 percent pace, wiping out the previous quarter's gains.

http://www.chicagotribune.com/business/sns-rt-us-usa-economybre90t075-20130129,0,2857095.story

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I'm not sure what the discrepancy in reporting is.

For example I'm not getting those numbers for defense outlays at all.

Department of Defense outlays Q3 (FY2012Q4): http://www.fms.treas...mts/mts0912.pdf (page 32)

July2012 $49,282,000

August2012 $61,545,000

September2012 $49,694,000

Total: $160,521,000

Department of Defense outlays Q4 (FY2013Q1): http://www.fms.treas...mts/mts1212.pdf (page 32)

October2012 $62,549,000

November2012 $53,784,000

December2012 $50,140,000

Total $166,473,000 (+3.71%)

WTF?

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The department of homeland security also enjoyed a 41% boost in outlays last quarter vs the previous quarter.

July-Sep $11,201,000

Oct-Dec $15,823,000

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Any of these numbers are going to be so caveated and adjusted that it will be impossible to audit them.

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This is what I was thinking as well.

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Outlays can rise while expenditures drop. It's just accounting. Massive capital costs will show up in full as outlays in one period but expenses will be broken out over time (over the life of the physical capital...building, machine, equipment, whatever).

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Hilarious...I just mentioned the jobs council and bam...an article from Mother Jones appears.

http://www.motherjones.com/politics/2013/01/obama-jobs-council-expiration-jeffrey-immelt

President Barack Obama's jobs council, a panel formed in January 2011 to gather outside expertise on job creation, is set to expire Thursday. It appears unlikely that the president will renew it for another term, but experts say that the council has been such a loser that its death might actually be a good thing.

The jobs panel, officially called the President's Council on Jobs and Competitiveness, is made up of 26 important people from industry, labor, and academia, and was "created to provide non-partisan advice to the President…on ways to create jobs, opportunity, and prosperity for the American people," according to its website. But the panel failed to accomplish much over its two-year life span, and a lot of what it did turn out was more friendly to business than to regular people.

The council hasn't met in over a year (its last meeting was January 17, 2012) and has only met four times since it was created. Last summer, the White House said that the council had not convened in the past several months because the president had "a lot on his plate." The panel has put out a total of three policy recommendation reports, but that hasn't translated into much actual movement on jobs.

Much like Obama's real work...all talk. He's not going to step on the toes of his special interests and instill policies that would look too Romney-like.

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