End of March I pointed out that economic numbers indicated a disastrous drop in net private saving, foreshadowing a recession unless things change quickly.
It looks like things have changed quickly this past quarter (Q1 2018), plus there seem to have been revisions to Q4 numbers. The federal budget deficit has expanded sharply to -$1.1 trillion which should take us out of the danger zone for now:
The current account deficit has expanded a bit to -$569 billion:
This means that net private saving (Fed data not yet available) will come in at around $531 billion, a level that hasn’t been seen since 2013.
Red alert is off, numbers are looking good again, for now.
- Why Deficits Are Needed & How Austerity Is Killing Greece
- What’s With This #MMT Garbage? (Amagi Podcast @Think_Liberty, Ep.29)
- How (Not) To Criticize Modern Monetary Theory (#MMT) (Amagi Podcast @Think_Liberty, Ep.26)
- How Private Is The “Private” Banking System? (Amagi Podcast @Think_Liberty, Ep.25)
- Why Minsky Matters, Part 4 (Amagi Podcast @ Think Liberty, Ep.24)
- #WTFAustrians (Amagi Podcast @ Think Liberty, Ep.23)
- The Barter Theory Of Money Is Bogus: Listener Q’s Answered (Amagi Podcast @ Think Liberty, Ep.22)
- Why Minsky Matters, Part 3 (Amagi Podcast @ Think Liberty, Ep.21)
- Response To Freedomain Radio About Trump’s Economy (Amagi Podcast @ Think Liberty, Episode 9)
- What Good Is A National Debt? – Conversation With Styxhexenhammer666