[ennui2]

What spin is necessary? This thread is about the present health of the economy. The debt load has not caused the economy to buckle, hence it's currently irrelevant.

[Outcast_Searcher]

lets see if the cornies have a positive spin for this: In 2015, the U.S. Federal Government paid $402 billion just to service the interest on its debt. This figure can be found at TreasuryDirect.gov. According to the Federal Reserve Q1 2016 Statistical Release, the U.S. Federal Government spent a total of $4.02 trillion in 2015. Thus, the interest on U.S. debt consumed 10% of the total budget.

This is a fair point. It doesn't mean doom of course, especially short term, but it shows that even at low rates, the magnitude of the US debt is biting relative to the size of the economy.

This is nothing new. If you look at the figures the site gives for the past decade, they've been roughly $400 billion on average (per my eyeballing the numbers on the page that gives the $402 billion figure for fiscal 2015, since you didn't provide a specific link.) My specific link to that page:

https://www.treasurydirect.gov/govt/rep ... xpense.htm

The percentage of US national debt has been fairly flat for the past 5 years at about 100% of the size of the US GDP. Let's not pretend the US is unique here. There are 19 countries listed in Wiki with similar or higher debt levels. The highest is Japan, listed at 229.2% of GDP, as of 2015.

My concern is that there appears to be ZERO political will to do anything about it, by either side of the aisle, or the majority of the public which benefits from government programs.

[Subjectivist]

I know it is anecdotal reporting, but near my house there have been several new houses built on the edges of farm fields even though homes in town have been for sale for months. Apparently folks want a brand new house rather than a pre existing house 50 or more years old. Seems very wasteful to me.

[vtsnowedin]

I know it is anecdotal reporting, but near my house there have been several new houses built on the edges of farm fields even though homes in town have been for sale for months. Apparently folks want a brand new house rather than a pre existing house 50 or more years old. Seems very wasteful to me.

A new house is just that, New and built to the buyers specs. The fifty year old house has fifty year old everything including lead solder in the pipes,lead in the paint and asbestos in the shingles and siding, plus one bathroom per three bedrooms and closets the size of a coffin.

[copious.abundance]

Service sector reports fastest growth in nearly a year

U.S. services companies grew last month at the fastest pace in nearly a year, potential good news for the U.S. economy.

The Institute for Supply Management says its services index jumped to 57.1 in September, the highest point since 58.3 last October. It was a big improvement on the August reading of 51.4, the lowest since February 2010. Anything above 50 signals growth.

New orders, production, export orders and employment grew faster last month.

Services firms have now grown for 80 straight months and have been a source of strength in an economy that has registered lackluster growth since late last year.

The ISM is a trade group of purchasing managers. Its services survey covers businesses that employ the vast majority of workers, including retail, health care and financial companies.

[...]

[onlooker]

The Great Debt Unwind: Business Bankruptcies Soar 38%
http://www.zerohedge.com/news/2016-10-0 ... es-soar-38

[Outcast_Searcher]

http://www.bloomberg.com/news/articles/ ... since-1973

Jobless Claims Near Four-Decade Low Ahead of U.S. Payrolls Data

Filings for U.S. unemployment benefits fell last week to the second-lowest level since 1973, as employers show scant willingness to fire workers amid a tightening labor market.

Jobless claims dropped by 5,000 to 249,000 in the week ended Oct. 1, a Labor Department report showed Thursday in Washington. The median forecast in a Bloomberg survey called for 256,000. Continuing claims declined to the lowest level since 2000.

Filings were just a hair above the four-decade low of 248,000 from April, a sign of minimal layoffs ahead of Friday’s monthly employment report. Companies are going head-to-head in finding skilled applicants amid record job openings, indications of a healthy labor market that may encourage Federal Reserve officials to raise the benchmark interest rate before the end of the year.

[Outcast_Searcher]

The Great Debt Unwind: Business Bankruptcies Soar 38%
http://www.zerohedge.com/news/2016-10-0 ... es-soar-38

Ah, citing zerobrains again. Which cites doomer blogs. Got it.

When I search on "Business Bankruptcies Soar 38%", I see no mainstream hits. Could it be they don't report such blips until there is a meaningful trend? And why is it that we didn't hear about this statistic for the 2.5 years on the bankruptcies chart cited while this figure was constantly decreasing? Oh that's right, because sites like zerohedge and the doomer blogs it cites wouldn't want to be balanced and report good news. Again, got it.

[Outcast_Searcher]

http://www.cnbc.com/2016/10/13/us-weekl ... -2016.html

US weekly jobless claims total 246,000 vs 254,000 estimate

Reuters

The number of Americans filing for unemployment benefits held at a 43-year low last week, pointing to sustained labor market strength that could pave the way for the Federal Reserve to raise interest rates in December.

Initial claims for state unemployment benefits were unchanged at a seasonally adjusted 246,000 for the week ended Oct. 8, the lowest reading since November 1973, the Labor Department said on Thursday.

Claims for the prior week were revised to show 3,000 fewer applications received than previously reported.

It was the 84th consecutive week that claims remained below the 300,000 threshold, which is associated with robust labor market conditions. That is the longest stretch since 1970, when the labor market was much smaller.

So much for the complaints that there are "no jobs" in the US, and that people "can't afford gasoline".

[vtsnowedin]

China is reporting a decline in both imports and exports.
They used to say if GM sneezed the USA got a cold. This month China sneezed and today that means the USA is in danger of pneumonia.
http://www.cnbc.com/2016/07/13/china-ju ... cline.html

[dohboi]

"No Autonomous cars."

I don't hear that as bad news. This technology was poised to un-employ millions.

[copious.abundance]

New home sales jump as supply shrinks

More Americans bought new homes in September, a sign that demand remains strong despite a shortage of properties on the market.

Recent hiring gains coupled with low interest rates have bolstered the market for new homes. But builders have largely struggled to keep pace with new construction, creating a shortage of listings for would-be buyers.

New-home sales advanced 3.1% last month to a seasonally adjusted annual rate of 593,000, the Commerce Department said Wednesday. The gains were concentrated in the Northeast, Midwest and South, as sales tumbled last month in the West.

So far this year, sales have increased 13% compared to the same period in 2015.

[...]

[copious.abundance]

U.S. Wages Rising At The Fastest Pace In Years Amid Solid Hiring

Go ahead — ask the boss for a raise.

The jobs report released Friday by the Labor Department suggests the time finally may be right to demand a fatter paycheck.

The October report showed employers added 161,000 jobs — and paid workers more. Average hourly earnings rose by 10 cents to $25.92 last month — and that gain followed September's increase of 8 cents an hour.

In all, average hourly earnings have risen by 2.8 percent over the past year — the fastest pace since the end of the Great Recession. That's a lot considering that the consumer price index has risen only 1.5 percent in the same 12 months. So workers now have more buying power at the store.

"As the job market gets tighter, firms are responding to tougher competition for workers by raising pay," PNC chief economist Stuart Hoffman said in his assessment. "This is a big positive for income growth, consumer spending, and the overall economy."

[...]

[Outcast_Searcher]

The bucket of instances measured to circumscribe average wage includes Donald Trump. I'd rather you not pollute the metric and use median wage instead.

So if you don't have something credible to discount the news, complain about the metric, sure.

Meanwhile things continue to get better overall in the US labor market.

I know doomers gotta doom, but don't you at least have something credible to offer?

Since people clearly can afford gasoline with higher wages and cars with better mileage, maybe you should focus on all the debt Obama has piled up, and the next POTUS is certain to add to, regardless of who wins.

[vtsnowedin]

Meanwhile things continue to get better overall in the US labor market.

Not really. After you subtract higher healthcare premiums and deductibles those pittance raises have more then been eaten up and property taxes and rents are well ahead of the official inflation rate. So net disposable income is down not up and it is going to get worse before it gets better.