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Thursday, January 24, 2019

America Not Growing? All because of a Wall?

https://youtu.be/zMzlWeQC3_0

It is my opinion that some people on this planet who are wealthy and extremely powerful have said no more money for America. Trump used it for a boarder wall and call it racist for no money? Is that ethical politics to get money back in America? (This is about net equity, not the printing press or fed reserve policy.)

If MSNBC reported accurately that many economists are saying zero or near zero GDP growth in quarter 1 of 2019 due to the negotiations going on; then, it is my opinion that this economy is not worth investing in until the private market is profitable or growing again.

Data tells the truth. A declining goverment budget with lower job hiring gains equals less potential of the private market to grow GDP and Net National Product. Titration is a chemistry term that means to find ballance for your goal (usually to find the neutral pH of a liquid and will take acid and base mixes to get to 7.0 pH.) For an adaptation to economics, I surmise that the balance point is zero GDP growth to find where everyone stands on the balance sheet. This argument with low job growth numbers will be used by investors worldwide to say that America as 'too many bugs' in it and will shun American investment. Overall, America is screwed and the Federal Reserve knows it:

 https://www.thecapitalideas.com/articles/outlook/us-outlook

https://www.forbes.com/sites/billconerly/2018/12/01/jerome-powell-and-the-interest-rate-forecast-yes-they-are-going-up/#54d85f3a79bb

Make no mistake though, when the US Government spends money, the growth will be there again; especially, if the Federal Reserve is rate bullish (but teeters on neutral.)

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