Thursday, May 29, 2008

More Economic Good News- Press Displeased

In another strike at the 'recession coming' meme so beloved of the mainstream media, the AP was forced to report today that the economy grew faster than expected in the first quarter of 2008. Of course, this did not prevent the writers from including a heavy dose of doom-and-gloom despite the undeniable positives in their own report. After admitting in the opening paragraph that the economy grew at a 0.9 percent rate- faster than expected- the writers proceeded to do their best to downplay any positive effects. According to the story,
The economy plodded ahead at a 0.9 percent pace in the first quarter -- slightly better than first estimated -- but still underscoring caution on the part of consumers and businesses walloped by housing, credit and financial problems.

The new reading on gross domestic product, released by the Commerce Department on Thursday, was an improvement from the government's initial growth estimate for the January-to-March quarter as well as the economy's performance in the final quarter of last year. Both periods were pegged at a 0.6 percent growth rate.

Gross domestic product, or GDP, measures the value of all goods and services produced within the United States.

The first-quarter performance matched analysts' forecasts and offered a somewhat encouraging sign because it showed the economy was still growing at that time. The figure didn't meet a definition of recession, which under a rough rule is two straight quarters of shrinking GDP, and might raise hopes the country can dodge a full-blown downturn.

If the press had any objectivity at all, they might have mentioned that despite their best efforts to paint it in a negative light, the economy is actually doing quite well. Housing prices may be down, but the economy continues to grow, despite the pundits' predictions (and secret wishes). And as has been pointed out previously, the economy is in fact very healthy- most of the economic indicators are at or above the Clinton-era marks and the job market continues to be fairly robust, with unemployment hovering around 5 percent- better than at any time in the 1990s, which were hailed as a economic powerhouse.

If government would get out of the way, lower taxes and simply allow the economy to work as it does, then I do not believe that we would have most of these worries. However, the PRess is heavily invested in a bad economy, as they are well aware that a bad economy will boost their chances to win the White House in November. I cannot help but think that there is something not quite right about minds that wish their country and their fellow Americans ill simply to win a political victory. Personally, I would rather see the country doing well, no matter who sits in the White House. But then I am not a Democrat.

No comments: