where are you getting these numbers from? productivity, employment, and energy output efficiency are all at record #s. In 1980, you had a market with PEs seriously contracted since cash and bonds were performing so well, and had intense inflationary pressure (from guess what? commodities) on top of that. This environment is much more hospitable to economic growth than the previous one. As far as total government debt, I agree we need to get a handle on that, but as a percentage of GDP its not way out of line. look to Japan for an example that makes us look like fiscal wizards. medicare/social security entitlements as well as annual budgets need to be resolved. thats a timebomb waiting to blow. but its not a near term issue. regardless, it seems dollar policy is to inflate our way out of debt responsibilities. That means equities appreciation, commodity appreciation, and DECREASED BUYING POWER. http://data.bls.gov/PDQ/servlet/Sur...s_option=specific_periods&periods=Annual+Data for unemployment rate. notice 1980 is near 8%, double current rates. http://data.bls.gov/PDQ/servlet/SurveyOutputServlet?data_tool=latest_numbers&series_id=PRS85006092 productivity rates are off the charts in comparison.
here's productivity growth y/y... so on a chart if mapped out as unit value, this would look parabolic.
BuyLo you made a little comment about watching the yen somewhere in this thread- I've lost it switching back and forth between Safari and my new Motzilla or whatever the hell it's called. That's the KEY point here- I tried to touch on it earlier here the PLUNGE PROTECTION crew have surly figured this out too. Now is a good time to watch the yen closely-- if we can beat it down stks go UP.
Ding ding ding...we have a winner. It's a great one to break out with when someone is talking out of their ass.