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Jase

Economy Shrank 0.1% in the 4th Quarter

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This was caused by a decrease in defense spending. It's a non-story.

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

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

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Still need to add jobs. We need workers to be able to be buyers and spenders.

Sure, it is just not that simplistic. Obama would love to pull the "jobs lever" and make jobs happen but this is a workforce skill vs dynamic shifts in automation and technology.

The middle class jobs, that are not tech related are not being replaced.

We are living in a new time and I chuckle when I go through my back teller and she asks me" Have you been to our online banking? Because you could have done this online"

Do you just realize you just directed me to a way of banking that will eliminate your job? I was driving by and wanted human interaction!

Here is a decent article about this.

http://www.seattlepi...obs-4223740.php

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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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