Final First Quarter GDP Implodes -2.9%: Worst Since 2008 Collapse
Well, the final numbers are in and it’s much uglier than anyone could have imagined. -2.9% is a collapse-type number. What if assets had not been artificially reflated by the actions of the Federal Reserve to bail out the criminal class that has stolen all of said assets? It’s simple. Real unemployment could easily be 50% or more in this nation. As I have noted on here ad nauseam, there is no economic recovery. There will be no economic recovery unless we have new economic policies. If assets tank again, there almost certainly will be no reflation. Because after another shock as large or larger than 2008 money will be nearly worthless as a mechanism for recovery. Look at how worthless it has become today? The real unemployment rate of 25% and most Americans without any savings at all and government transfer payments up 900% after inflation in the last 30-odd years. And, another reason there will likely be no reflation is because it will be central banks themselves that need a bailout; something discussed on here ad nauseam..
This final GDP number makes the economist survey cited on here some months ago even more ludicrous. ie. A survey starting 2014 showed nary a single economist expected GDP to contract any time this year. The best credentialed incompetence money can buy. Something economists share with Washington politicians, Wall Street bankers and Harvard MBAs.