Wow, This Is Just Getting Too Easy -- Another Geico Rock Award Nominee -- October 14, 2016

Federal Reserve Chair Janet Yellen: the slow recovery from the Great Recession has surprised economists, confounding long-held beliefs about growth and inflation.

The article does not mention:

• the anti-growth Obama administration
• ObamaCare
• a gazillion pages of new regulations
• #BlackLivesMatter mentality
• keystoned pipelines
• corporate tax rates 

The Geico Rock Award nominees are listed here.

***********************************

Is This The "Jolt" Yellen Needs?
Probably Not

Meanwhile, deficits appear not to matter.

From McClatchy:

The government ran a $587 billion budget deficit for the just-completed fiscal year, a 34 percent spike over last year after significant improvement from the record deficits of President Barack Obama's first years in office.

Read more here: http://www.mcclatchydc.com/news/politics-government/national-politics/article108285582.html#storylink=cpy

And then this:

Friday's deficit news, while sobering, does not appear bad enough to jolt a gridlocked Washington into action to stem the flow of red ink. It came in an annual report by the Treasury Department and the White House budget office.

Of course not.

And released late Friday afternoon. LOL.

I truly do believe that most politicians in Washington agree with Krugman, that money no longer matters; that deficits no longer matter.

Googling that "deficits no longer matter" brings up any number of distinguished writers. My hunch is that before I die, the Nobel price in economics will go to an economist that can strongly argue the case, and perhaps even prove his point with the US deficit.

Just as borders no longer matter. 

*****************************

Economy To Go Out On High Note As Obama's Presidency Comes To An End

From Reuters:

U.S. retail sales rebounded in September amid a surge in motor vehicle purchases and rise in discretionary spending, pointing to solid demand that reinforces expectations of an interest rate increase from the Federal Reserve in December.Other data on Friday suggested a pickup in inflation, with producer prices rising broadly last month to record their biggest year-on-year increase since December 2014. The reports were the latest indication that the economy regained momentum in the third quarter after a lackluster first-half performance.

"Today's data give the Fed a green light to raise interest rates by year-end.

Retail numbers were solid and confirm that the economy is moving in what the Fed believes is an acceptable fashion," said [one of many talking heads].

And I thought automobile sales were down. Silly me. From an earlier post:

US car sales slip. WSJ. September results:

• GM and Ford sales decline amid pullbacks in fleet deliveries (this had been predicted)
• GM: slipped 0.6%. Inconsequential.
• Ford: "skidded" 8.1%. Consequential. (21% decline in fleet sales)
• Fiat Chrysler: down 0.9%; Jeep posted a rare decline
• Toyota: rose 1.5%
• Honda: a 0.1% decline

I guess whatever narrative you want to believe.

*****************************

The List Lengthens

Joining the long list of cities and states booting out Wells Fargo, one can now add Ohio. At Cleveland Patch:

Ohio Governor John Kasich announced that, for one year, he is barring Wells Fargo & Company from participating in future state debt offerings and financial services contracts initiated by state agencies under his authority and that he will seek to exclude Wells Fargo from participating in debt offerings initiated by the Ohio Public Facilities Commission (OPFC).

The governor must have pals at Wells Fargo. This is just a one-year ban.