EICKnotes for Nov 1, 2013
1. US Budget Deficit Continues to Fall
The US 2013 Budget Deficit continues to fall at record speed. The 2013 deficit has fallen to 680B (4.1% of GDP) from 1.08T (6.8% of GDP) in 2012. It has fallen from a 1.5% increase in tax receipts and a 1.2% fall in outlays. Seems like a balanced approach to me, you have to wonder what all the political fighting is all about. (Treasury)
2. US Economic Growth Might Be Accelerating…
3. QE all the time…
People don’t seem to be talking about anything but QE these days. Not sure it really has much real economy impact but with everyone believing that it does, it could be ugly when it stops.
- Did Monetary Policy Cause the Recovery? (Hussman)
- Eugene Fama: QE Doesn’t do Much (Pragmatic Capitalism)