{"id":192875,"date":"2009-02-11T18:50:00","date_gmt":"2009-02-11T23:50:00","guid":{"rendered":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/02\/11\/economics-update-283\/"},"modified":"2009-02-11T18:50:00","modified_gmt":"2009-02-11T23:50:00","slug":"economics-update-283","status":"publish","type":"post","link":"https:\/\/www.panix.com\/~msaroff\/40years\/2009\/02\/11\/economics-update-283\/","title":{"rendered":"Economics Update"},"content":{"rendered":"<p>The <a href=\"http:\/\/www.bloomberg.com\/apps\/news?pid=20601110&amp;sid=atwQ4pUtn6Y0\">budget deficit is exploding<\/a>, with the annual total now looking to be around $1 trillion:<\/p>\n<blockquote><p>The excess of spending over revenue in January rose to $83.8 billion, compared with a $17.8 billion surplus in the same month a year earlier. Spending gained 30.6 percent, while revenue dropped 11.4 percent. Corporate tax revenue in the past four months is down 44.3 percent from a year earlier<\/p><\/blockquote>\n<p>, and if we weren&#8217;t at risk of entering a deflationary spiral, I&#8217;d be concerned about inflation.<\/p>\n<p>Speaking of deflationary spirals, the <a href=\"http:\/\/www.cnbc.com\/\/id\/29137078\">trade deficit hit a 6 year low<\/a>, not because we are exporting more, but because no one is buying <span style=\"font-weight: bold;\">anything<\/span>.<\/p>\n<p>No one is borrowing to finance, or refinance their homes either, with <a href=\"http:\/\/money.cnn.com\/2009\/02\/11\/real_estate\/mortgage_applications.reut\/index.htm\">U.S. mortgage applications falling to an 8-year low<\/a>.<\/p>\n<p>Overseas, we have the <a href=\"http:\/\/money.cnn.com\/2009\/02\/11\/news\/international\/british_inflation.reut\/index.htm\">Bank of England predicting that inflation in the UK will be \u00bd% two years from now<\/a>.  Me, I&#8217;m expecting deflation, and the stagnant GDP that goes along with it.<\/p>\n<p>The UK economy is even more heavily underwater, than that of the US, so it&#8217;s likely to get even worst there.<\/p>\n<p>Further east we have <a href=\"http:\/\/www.bloomberg.com\/apps\/news?pid=20601109&amp;sid=a6vxWuczSkls&amp;refer=home\">the Russian bond market completely seizing up<\/a>.<\/p>\n<p>In energy and currency, we have <a href=\"http:\/\/money.cnn.com\/2009\/02\/11\/markets\/oil\/\">oil down on reports of diminishing demand<\/a>, and the <a href=\"http:\/\/money.cnn.com\/2009\/02\/11\/markets\/dollar\/index.htm\">dollar up on reports that the conference committee has cut a stimulus deal<\/a>. (More on that later)<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The budget deficit is exploding, with the annual total now looking to be around $1 trillion: The excess of spending over revenue in January rose to $83.8 billion, compared with a $17.8 billion surplus in the same month a year earlier. Spending gained 30.6 percent, while revenue dropped 11.4 percent. Corporate tax revenue in the &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1038,973,1200,1016,1088,1089],"tags":[],"class_list":["post-192875","post","type-post","status-publish","format-standard","hentry","category-budget","category-economy","category-inflation","category-international-commerce","category-real-estate","category-recession"],"_links":{"self":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/192875"}],"collection":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/comments?post=192875"}],"version-history":[{"count":0,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/posts\/192875\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/media?parent=192875"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/categories?post=192875"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.panix.com\/~msaroff\/40years\/wp-json\/wp\/v2\/tags?post=192875"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}