Economy likely slowed last quarter but better now

[Omaha Steve]

Source: AP

By JEANNINE AVERSA

WASHINGTON (AP) - The economy probably slowed in the first three months of this year as harsh winter weather and high oil prices hurt spending by consumers, builders and other businesses. But economists predict that was a temporary setback and growth will pick up over the rest of the year.

Thursday morning the government will release a new snapshot of the economy's health that is expected to show a 1.9 percent annual growth rate in the January-March quarter.

That would be much weaker than the 3.1 percent growth rate in the October-December quarter of 2010. And it would be the most sluggish growth since the spring of last year when fears about Europe's debt crisis caused the economy growth's to slow to a feeble 1.7 percent pace.

Looking ahead, economists predict consumers and businesses will spend more in the months ahead because gasoline prices, now averaging $3.88 a gallon nationwide, will stabilize by the summer and drop to about $3.50 by fall. Rising gas prices are taking up much of what Americans are pocketing from the Social Security payroll tax cut.


Read more: http://apnews.excite.com/article/20110428/D9MSK5NG0.html

[Demeter]

1. More Baloney from the Sausage Factory

NO matter how they slice it, this economy is NOT getting better. There is no growth and no production of wealth. There is only theft, fraud, and abuse heaped upon the working people and those unable to work for whatever reason.

[aquart]

2. How many jobs lost in the soap cancellations?

How many are about to be lost at...damn, I'm not allowed to say. BIL just got word there will be major cuts at his company. They've decided to outsource their projects (and good luck on maintaining security then, suckers).

[fasttense]

3. That is one of the most illogical economic analysis I have read.

1st they say the economy slowed down because of bad weather and high oil prices.

2nd they say the oil prices are still high (much higher) but they expect it to stabilize. Really? Why? They don't say.

Of course they do not mention the bad weather we have been getting like tornadoes and the possibility of hurricanes.

So, we still have bad weather and high gas prices but the economy will improve.

All based on what?

later in the article they tell you it is based on Helicopter Ben's say so.

I hate junk that passes as real analysis.

[Pale Blue Dot]

7. Spot on.

What you describe above - economists and the media telling us things are about to get better without explaining the mechanisms that will accomplish this - has been going on for years now. It's gross.

[NickB79]

11. +1000. If anything, the weather seems worse

Droughts and fire in Texas, flooding in the Midwest, tornadoes in the South.

Then globally you have the continued lag from Japan's earthquakes and hurricane season will be gearing up here soon.

Hang on to your hats!

[placton]

4. Hey the rich are richer! Problem solved, what?

We are in a depression - really, dont people get this?

[sweetapogee]

5. I don't think

things are so bad. I have a full time job (same one that I have had for 25 years now), just got a pay raise in fact. I also just started a part time job weekends that pays a fairly good hourly wage. The goal is to pay off the mortgage 5 years early. Things are looking up.

[BOG PERSON]

6. whatever

[Donnachaidh]

8. why does this sort of title remind me of a Monty Python skit?

Not a knock on you Steve -- it's just that this sort of coverage is becoming so commonplace, and is such utter bullshit - it almost makes you giggle....

[Javaman]

9. Whew! that was close!

:eyes:

[ixion]

10. Oh yea, gee... it's all better now...

:eyes:

So, gas 'stabilizing' at 3.50 will make everyone happy? I think not.

This article is a load of gibberish and happy talk, and the so-called 'economists' who predict growth should be out of a job.