Blame the Bush tax cuts -
U.S. economy expanded at a 4.3% pace in third quarter: “
The U.S. economy grew at a 4.3 percent annual rate from July through September, the quickest since the first quarter of last year and evidence of resilience in the face of record energy costs.” Also sales of new homes
hit an all-time high and
consumer confidence soared in November.
8 comments:
Consumer confidence soared in November; women and children hardest hit.
Economy steamrolls in November: Women, Gays, and Minorities Suffer as a Result.
That's the proper headline.
Yeah! Woooo!!! Consumer confidence hasn't been at these high levels since September of 2005!
Sales of new homes are up, up, up! And other than hurricanes wiping out old homes, the only feasible explanation for the increase is total victory for Bushonomics! The 2003 tax cuts that didn't work four weeks ago are abruptly making miracles happen in November!
Amorphous, transitional statistics that don't conflict with my political preconceptions totally rule!!!
And other than hurricanes wiping out old homes, the only feasible explanation for the increase is total victory for Bushonomics!
Hey JMK? You're not very bright, are you?
Sincerely,
Bastiat's Broken Window
No, I'm not bright. In fact, I'm an imbecile. And yet I still get to laugh at those who'd infer that Bush's tax cuts lay dormant like time-release capsules for these two years, helpless to halt the economic slide, before suddenly setting America right again from November 1-30. Er... sample size, anyone?
The federal disaster area following Katrina is almost as large as England. Not since the Dust Bowl of the 1930s have so many Americans been displaced; more than a quarter-million are not expected to return to New Orleans alone. Following Hurricane Andrew in 1992, the definition of a new housing start was modified to include structures where the entire building was razed and a new house built on the existing foundation.
And while these coincidental and totally unrelated events were occurring, what was the total national increase in new home sales from September to October? Approximately 180,000.
It must be all those $600 checks from 2003. Yup.
Sincerely,
Bastiat's Broken Window, Walls, Roof, and Surrounding Area
Anon/Jules - Take a look at the hyperlink for "tax cuts" in the title showing the GDP growth rate before and after the Bush tax cuts.
Not quite "dormant."
Also there’s this on new home sales: “Analysts said the unexpected surge was probably influenced by fence-sitters rushing to buy homes before mortgage rates climb higher.”
Or there’s this bit of news: “The gain in October new home sales was led by a 46.9 percent surge in the West and a 43.3 percent jump in the Northeast, two huge increases which economists said could be revised lower in coming months.
Sales were up a more modest 1.9 percent in the South but were down 9.5 percent in the Midwest.”
So unless you think all those Gulf Coasters moved up North to buy new pads, the hurricane had a negligible effect on new home sales.
Facts: they’re our friends.
http://news.moneycentral.msn.com/provider/providerarticle.asp?feed=AP&Date=20051129&ID=5312900
Facts: they're our fair-weather friends.
http://www.cbsnews.com/stories/2005/12/23/ap/business/mainD8EM19TO9.shtml
New Home Sales Plummet in November (AP)
Sales of new homes plunged in November by the largest amount in nearly 12 years, providing the most dramatic evidence yet that the red hot housing market over the last five years is starting to cool down.
The Commerce Department reported Friday that new single-family homes were sold at a seasonally adjusted annual rate of 1.245 million units last month, a drop of 11.3 percent from October, when sales had surged to an all-time high.
Last month's decline was even bigger than the 8.7 percent drop-off that Wall Street analysts had been expecting. While sales of both new and existing homes are still on track to set records for a fifth straight year in 2005, analysts are forecasting sales will decline in 2006 as the housing boom quiets down.
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