From the AP:
The economy worsened in much of the country earlier this summer, hampered by high unemployment, weak home sales and signs of a slowdown in manufacturing.
A survey by the Federal Reserve, released Wednesday, found that weak consumer spending, slow job growth and tight credit are restraining growth into the second half of the year.
Growth slowed in eight of the Fed’s 12 bank regions in June and early July, the report found, compared with the spring. That marked the worst showing this year…
Mish has some of the sad details of an economy wobbling towards recession. The bottom line is that Obama’s program didn’t work. All that spending, all that printed money – all it brought us was a few quarters of bogus “growth”. It could be that another round of spending and printing would keep things going for a while – but the cost would be prohibitive. It would almost guarantee a round of high inflation, while the additional debt could push us in to bankruptcy as early as late 2012. There are no more things for Big Government to do – its all been done and it has all failed.
Whether or not we tumble in to official recession – as defined by government statistics – remains to be see. At all events, we won’t get an official word of recession until some time next year, at the earliest (government will guess about what the unemployment rate is, but will not guess when a recession has started…they have to have rock solid facts, and that takes 6 to 9 months to show up). But the people know full well what is going on – the economy is slumping, jobs are extraordinarily hard to find, prices are causing a pinch to stressed family budgets, and there is no sign of improvement on the horizon. Unless there is a massive and totally unexpected turn around, Obama will carry this struggling economy in to 2012.