The recent turmoil in the equity markets would make more sense if the US economy were headed for recession. People are coming up with words to describe this slow growth economy – the snail, the six-cylinder car, plodding, and crawling. Click here to see why considering ca;l;ing it a “Plow Horse” economy may be a more accurate description.
Many are convinced that the market correction of the past few weeks is a certain sign of impending recession.
However, consumers’ financial obligations, the share of their after-tax incomes they need to make recurring payments (mortgages, rents, car payments, student loans…etc.) is hovering at its lowest levels since the early 1980s. Meanwhile, more jobs, mildly accelerating wages, and lower fuel prices mean consumers are in pretty darn good shape.
Want to know what looks poised for solid growth in 2016? Click here for our special report...
The things you use everyday -- based on good old entrepreneurship -- are driving profits and economic output inexorably upward. Click here to see what those things are, and why the past six years suggests the creation of wealth is proceeding fast enough to offset the growing redistribution of wealth.