This week we had the best economic news on TWO fronts in years – FIRST, existing home sales rose for the third straight month and SECOND, the stock market inched over 9,000 for the first time this year.
This news is vital because it signals that there’s no way to blame ANY of the policies going forward on the now “long past policies,” of the Bush administration. That’s now off the table.
WASHINGTON (AP) - July 23, 2009 -- A real estate group's report says sales of previously occupied homes rose 3.6 percent from May to June, the third consecutive monthly increase and a sign that a housing recovery is under way in much of the country.
The National Association of Realtors says home sales rose to a seasonally adjusted annual rate of 4.89 million last month, from a downwardly revised pace of 4.72 million in May.
It was the highest level of sales since October 2008 and beat economists' expectations.
http://abclocal.go.com/wpvi/story?section=news/business&id=6929258
This news is vital because it signals that there’s no way to blame ANY of the policies going forward on the now “long past policies,” of the Bush administration. That’s now off the table.
WASHINGTON (AP) - July 23, 2009 -- A real estate group's report says sales of previously occupied homes rose 3.6 percent from May to June, the third consecutive monthly increase and a sign that a housing recovery is under way in much of the country.
The National Association of Realtors says home sales rose to a seasonally adjusted annual rate of 4.89 million last month, from a downwardly revised pace of 4.72 million in May.
It was the highest level of sales since October 2008 and beat economists' expectations.
http://abclocal.go.com/wpvi/story?section=news/business&id=6929258
Ironically enough the stimulus packages have done nothing to bring about the current “recovery”. With less than 5% of the stimulus monies being spent, it’s been China’s recovery that has helped bring a large sector of the American economy back.
So why’s this so important?
For one thing, it’s nothing less than the official end of the “Bush-Pelosi-Reid” economy. Even though we’ve had a “Democratic economy” since January of 2006 and a concomitant period of economic disaster along with it, up to now, most of the last two years were wrongly blamed on the lame duck Bush administration, but now we have the official start of the “Obama economy”.
Economists across the board expect dire consequences from our exploding national debt, rising unemployment and declining revenues – fewer people working and less profitable industries has meant lower tax revenues for city, state and the federal government.
This mini recovery breaks with the past and makes ALL the future consequences the result of the failures of Democratic Keynesian policies.
Economists across the board agree that we’re currently facing some very dire consequences as a result of the exploding National Debt and declining revenues due to higher unemployment and far less profitable American industries.
At the end of next year, the Bush tax cuts expire and both tax experts and economists predict that the top 10% of American income earners, who now pay about 80% of the income taxes, will simply defer more of their incomes as tax rates rise, thereby DECREASING tax revenues. They predict that because that’s what the highest income earning Americans ALWAYS DO when tax rates rise.
So, now, a full six months into this administration, we can now, and without ANY rational opposition, say that “We are NOW officially in the Pelosi-Reid-Obama economy”.
From here on in EVERY rise in the unemployment rate, EVERY spike in inflation, EVERY hike in interest rates and ALL the concomitant economic pain is unquestionably due to the Democratic agenda and their Keynesian policies.
THIS should be welcome news to ALL Conservatives and economic Libertarians.
We’ve already had “the recovery” without any “feel good”, now, everything going forward can and will be blamed on the Obama-Pelosi-Reid policies.
