No recovery: U.S. personal income fell 3.5%

Obama media
Early this morning, I heard/saw it again — some chattering reporter on an alphabet TV network saying the words “the improved economy.”
For crying out loud.
Stop lying!
The economy is NOT improving!
FOTM has posted about America’s retail apocalypse — of major national retailers like J.C. Penney, Sears, and Best Buy cutting staff and closing stores, and Wal-Mart having the worst February sales in 7 years. Even Wall Street giant Morgan Stanley is cutting 1,600 employees, as revenue from trading and deal-making remains in the doldrums.
Now comes more dismal economic news from the U.S. Department of Commerce’s Bureau of Economic Analysis. In January 2013:

  • U.S. personal income decreased 3.5% ($505.5 billion), the biggest drop in personal income in 20 years.
  • That, in turn, led to a 4% decrease ($491.4 billion) in disposable personal income.
  • The decline in disposable personal income meant Americans had less money to buy goods, which accounts for why consumption increased by only 0.2% from December 2012.
  • The decline in disposable personal income also led to a decrease of personal saving rate to 2.4% — the lowest since November 2007.

personal savings rate feb_0Click image to enlarge
.

In the words of Bloomberg economist Rich Yamarone: “Consumers can’t spend what they don’t have, and they don’t have much.”
Nor is America’s anemic economic performance confined to just the month of January 2013.
As measured by personal income, 2012 was worse than 2011. Whereas personal income increased 5.1% in 2011, personal income increased only 3.5% in 2012. The year 2013 promises to be even worse, with personal income decreasing by 3.5% in the first month of the year.
H/t ZeroHedge
~Eowyn

Please follow and like us:
error0
 

Leave a Reply

avatar
  Subscribe  
Notify of
alice wolf
Guest
alice wolf

The printing of money, the quantative easing, by the FED has allowed the banks to continue their betting, double or nothing, betting, on the investments ? so called, in worthless bundles of mortages etc etc that have done nothing but deterioriate in value, and the bets are to trying and cover the everyincreasing losses. Meanwhile, lending has sunk, and many of the lines of credit or lending has been to bankis who need even more money than the stuff they get for low interest from the FED. Back at the ranch, no major infrastructure projects have been envisaged, let alone… Read more »

joandarc
Guest
joandarc

Thank you Dr. Eowyn for this revealing post. As you stated, stop the lies!!!! Don’t mention the facts to anyone; let’s just let everybody live by what we tell them, is the philosophy and communication methods of the biased media governed by the liberal left. Lies are “in your face evil” and that is what is happening here. Thank you Dr. Eowyn for telling the truth supported by facts. So much for the idiotic decisions of people who voted for this sickening king.

Crustacean
Guest
Crustacean

“improved economy” certainly is a relative term. That 3.5% drop is just for one month, however. I’m not saying it’s a good thing, but still, let’s get some perspective. After the economy went into the tank toward the end of Bush’s second term, per capita personal income (inflation-adjusted for 2011 dollars) decreased by 5.33% in 2009. But then it increased by 1.01% in 2010 and 1.82% in 2011. I couldn’t find the per capita personal income for 2012, but the average per capita personal income for the first three years of data I have for the Obama Presidency (2009 –… Read more »

DCG
Admin

Forward!

Anonymous
Guest
Anonymous

…into the ditch.

gds44
Guest

Reblogged this on Gds44's Blog.

debbymanynations
Guest

Reblogged this on cedarridge2007.

Tabby
Guest
Tabby

Not only are we not having a recovery, but it’s about to get a lot worse..
Wall Street Legend Warns: A ‘Storm’ Is Coming
https://www.theblaze.com/stories/2013/03/01/wall-street-legend-warns-a-storm-is-coming/