“Mr. Biden is ‘Slow Playing’ the Opening Up of the US Economy“– Paul Ebeling
Mr Biden’s target date for reopening the economy is a Democrat ‘slow play’ ploy that too many months away.
Economist Stephen Moore agrees saying Sunday, “I disagreed with Joe Biden when he said the other night … that we’re going to have the economy open up by the Fourth of July so you can have parties with your family.“
Mr. Moore stressed that “we should have this economy opened up by the end of April, early May,” adding that “some states are already open. It seems that the president does not realize that you have got half the states in the country that are pretty much fully open.“
Adding that “the most important thing for the economy right now is getting the vaccine out there so we can open up this economy,” stressing that this is already occuring as the vaccine is “getting out there at a very very rapid pace.”
Mr. Moore said that he is optimistic about the overall state of the economy, saying, “As we get back to normal, I think you’re going to see a really nice recovery. Consumers are going to spend. You’re already seeing signs of airports being more crowded. Stores being more crowded. We may even see movie theaters start to reopen. We may even see cruise ships starting to run again.“
He cautioned, “I do think New York is going to face some tough times over the next years to get back,” as well as other large metropolitan centers such as Los Angeles and Chicago.
“It’s going to take some time for these cities to recover from the mismanagement and the lockdowns and the violence as well,” Mr. Moore said, stressing that “I’m not quite sanguine about the recovery of New York, but I think it will happen.”
Economist Bruce WD Barren is concerned about inflation, saying “It is laughable when I hear the Federal Reserve Chairman Powell saying, I don’t see any inflation out there.
“Why, this is because two of the most important concerns for the general public is the increase in the costs of food and energy/ gasoline at the pump, which are not part of the inflation calculation, and are running currently at more than twice the inflation rate. Plus, the inflation rate increases are important in the calculation of various annual pay rates along with Social Security which materially affects 65 and over.“
Seems Mr. Powell and his colleagues are cocooned and do must not fill up fill their gas the tank or shop groceries!
PhD economist Shayne Heffernan told me: “I do not think there will runaway inflation like we saw in the 1970’s just yet, but is is coming.”
What is look at us US gas prices and food prices and they are way us YTD in the US, those are the items that count with the American consumer, and they are not counted by the Fed, go figure.
Looking Ahead: our big big concern and the 1 that we all should have is this $1.9-T VirusCasedemic aid/relief/stimulus legislation passed by the Biden administration on top of the leftover $1-T that is now being pipelined into the economy, some of which is going into the hands of the consumers. If they do go out and spend it, that will bring higher prices. This is economics 101,because when demand is increased the demand prices always go up.
Making America Last Again (MALA)
Have a healthy week, Keep the Faith!