Douglas Elmendorf director of the Congressional Budget Office foresees an extended period of slow economic growth for the U.S.
Maybe Mr. Elmendorf didn’t see the record gains posted by Wall Street yesterday or maybe he knows they are nonsense. There is a possibility he has enough common sense to realize the stock market should be indicative of the U.S. economy; which it is not.
The CBO predicts income for Americans will fall and that fewer jobs will be available indefinitely. Predictions for economic growth measured by the GDP will average an anemic 2.1 percent. These numbers equate to what would be the slowest period of economic growth since the Great Depression.
Adding to the latest report the CBO believes interest rates will rise substantially fueling concerns that the federal government may not have the funds to service their debt. Fleecing of the new government backed Myra retirement program may however alleviate some of the pressure.
It must be frustrating for Washington and the Fed to see their own hired hands not following the “all is well” status quo.
Gold Goliath is not your typical gold dealer.