The US Economy

[Nodack]

That’s what you say. Biden gaslighting the economy every week?

To gaslight someone means to manipulate another person into doubting their own perceptions, experiences or understanding of events, according to the American Psychological Association.

So which is it? All the economic factors are fake or economic factors don’t mean anything? Like I said before, if Trump was President right at this moment he would be telling us this is the greatest US economy the world has ever seen and his flock would be giddy. He’s not President so he and all Maga are going complain that the economy is horrible no matter what. Who’s doing the gaslighting? It’s politics 101 for both sides. The Dems would be all over the inflation number too and ignoring everything else.

Edit: Inflation isn’t a new thing. I have a birthday cup with my birthdate on it with the average cost of things that year.
Movie ticket- $0.85
Gallon of gas- $0.30
A new house - $12,650
Average income - $5,807

Population 189.2 million

[Cap]

That’s what you say. Biden gaslighting the economy every week?

To gaslight someone means to manipulate another person into doubting their own perceptions, experiences or understanding of events, according to the American Psychological Association.

So which is it? All the economic factors are fake or economic factors don’t mean anything? Like I said before, if Trump was President right at this moment he would be telling us this is the greatest US economy the world has ever seen and his flock would be giddy. He’s not President so he and all Maga are going complain that the economy is horrible no matter what. Who’s doing the gaslighting? It’s politics 101 for both sides. The Dems would be all over the inflation number too and ignoring everything else.

Edit: Inflation isn’t a new thing. I have a birthday cup with my birthdate on it with the average cost of things that year.
Movie ticket- $0.85
Gallon of gas- $0.30
A new house - $12,650
Average income - $5,807

Population 189.2 million

Crazy that a house cost barely twice the average income. And now the older generations think the younger generations are lazy bums because they can’t buy a house as easily as their grandparents did.

[Nodack]

It’s the Gaurdian, which is left leaning for sure but, the news sounds about right to me.

Half of recent US inflation due to high corporate profits, report finds
Thinktank report says ‘resounding evidence’ shows companies continue to keep prices high even as their inflationary costs drop
https://www.theguardian.com/business/20 ... te-profits
Prices for consumers rose by 3.4% over the past year, but input costs for producers increased by just 1%, according to the authors’ calculations which were based on data from the Bureau of Economic Analysis and National Income and Products Accounts.

“Costs have come down substantially, and while corporations were quick to pass on their increased costs to consumers, they are surprisingly less quick to pass on their savings to consumers,”


“they are surprisingly less quick to pass on their savings to consumers”

Let’s be honest, who is surprised corporations would be less quick to pass their savings onto the customers?

[Nodack]

That’s what you say. Biden gaslighting the economy every week?

To gaslight someone means to manipulate another person into doubting their own perceptions, experiences or understanding of events, according to the American Psychological Association.

So which is it? All the economic factors are fake or economic factors don’t mean anything? Like I said before, if Trump was President right at this moment he would be telling us this is the greatest US economy the world has ever seen and his flock would be giddy. He’s not President so he and all Maga are going complain that the economy is horrible no matter what. Who’s doing the gaslighting? It’s politics 101 for both sides. The Dems would be all over the inflation number too and ignoring everything else.

Edit: Inflation isn’t a new thing. I have a birthday cup with my birthdate on it with the average cost of things that year.
Movie ticket- $0.85
Gallon of gas- $0.30
A new house - $12,650
Average income - $5,807

Population 189.2 million

Crazy that a house cost barely twice the average income. And now the older generations think the younger generations are lazy bums because they can’t buy a house as easily as their grandparents did.

Home Price to Median Household Income Ratio (US)
https://www.longtermtrends.net/home-pri ... ome-ratio/
Historically, the average cost of a house in the US has been around 5 times the yearly household income. However, during the housing bubble of 2006, this ratio exceeded 7. In other words, the average single-family house in the United States cost more than 7 times the US median annual household income.



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[Split T]

And now we’re closing in on 8, yay for us!

[Superbone]

I'm paying cash for my next one!

[Kryptonic]

Yea it's ridiculous... 70 year fixed rate mortgages here we come!

I feel so lucky to have purchased our house when we did and refinanced at 2.75% for 15 years. Think we only have 11 years left.... WOOHOO!

[Kryptonic]

And now we’re closing in on 8, yay for us!

I had thought about downsizing to a smaller home... Then it dawned on me that my kids MAY need to move back in at some point just to save money for a house. It's just ridiculous for the younger generation and really feel for them.

[Split T]

And now we’re closing in on 8, yay for us!

I had thought about downsizing to a smaller home... Then it dawned on me that my kids MAY need to move back in at some point just to save money for a house. It's just ridiculous for the younger generation and really feel for them.

I luckily bought a condo in 2020 before things went too crazy, but I’ll have to upgrade to a bigger house eventually. Not thrilled about that

[Cap]

And I bought in 2000. That chart makes me look like a genius.

I also put a few bucks into AAPL in 1998. Investment-wise, that was a great stretch. Life-wise, not so much.

[Nodack]

One thing about charts. They always change. Who knows what the future brings?

[Superbone]

Morning Brew:

The Ministry of Economic Enthusiasm has proclaimed that the Great Vibecession is officially over. Okay, that’s not a real government body, but the economic vibes really have improved: US consumer sentiment just made its biggest two-month jump since 1991, the University of Michigan said yesterday.

The university’s consumer sentiment index offers a monthly snapshot of how Americans feel about their finances, business conditions, and what the future holds. And with the job market going strong and inflation on the decline, Americans haven’t felt this good about the economy since summer 2021…

In the first half of this month, the consumer sentiment reading jumped 13.1% from December, putting it 29% above where it was in November.
Meanwhile, inflation expectations for the coming year dropped to 2.9% from 3.1% in December, the lowest since late 2020.
Analysts say lower gas prices and mortgage rates and a stock market rebound helped boost the mood.

[Mori Chu]

The Biden economy is strong:

[Nodack]

That can’t be true. Hotrodted and Magadelicious on X said the economy was the worst ever.

[In2ition]

Nodack and Mori on .net said the economy was the greatest ever, but I keep seeing my bills, including groceries be higher than ever in relation to my take home pay. Those receipts and bills can't be true.

[Mori Chu]

Nodack and Mori on .net said the economy was the greatest ever, but I keep seeing my bills, including groceries be higher than ever in relation to my take home pay. Those receipts and bills can't be true.

I sympathize with this; it's frustrating and annoying to be told "the economy is doing great!" if that doesn't match what you are seeing on your own balance sheet. And, admittedly, not *everything* about the economy is going great. It seems like unemployment numbers are really good (low unemployment), but wage growth has been pretty stagnant and is not keeping pace with inflation. That likely leads to many folks like you saying that you feel like the economy is getting worse because goods cost more and your paycheck has not grown to match.

I would not presume to tell an individual how they should feel about their own personal finances. But I do think that all the doom and gloom about how Biden was putting the US into a recession and ruining the economy, on a macro scale, seems very clearly untrue. The US economy numbers in aggregate have been very strong.

[In2ition]

Of course, if I was much richer, my essential expenses would be a small fraction compared to my discretionary expenses and I would feel the effects of this great economy.

[Mori Chu]

Was the economy good under Trump? And, if so, how was it better at that time for you personally? You say that your bills and grocery costs are high relative to your take-home pay. Was that not true under Trump? How much have your bills changed since Jan 2021?

[In2ition]

It's a good question, so I am glad I had to research it.

My Southwest gas bill is up from $112.47 in Jan '21 to $186.45 this year.
My APS bill is up from $221.00 in Jan '21 to $426.00 this year
My City of Phoenix bill is up from $129.00 in Jan '21 to $200.09 this year.
My Auto, Home, & Life Insurance(AmFam) is up from $248.83 in Jan '21 to $639.57 this year. (No accidents, tickets, or claims made, same home and cars)
I can't give you accurate information on the change in my family Health Insurance per month, as my company changed our paycheck provider.

I can tell you the budget I gave my wife in Jan '21 for groceries, gas & misc was $500 every 2 weeks. It's now $1000 every 2 weeks.

[Superbone]

Of course, if I was much richer, my essential expenses would be a small fraction compared to my discretionary expenses and I would feel the effects of this great economy.

That's where I'm at. Life is good. Sorry you're struggling.