Monday, January 22, 2018

Bill on the economy

Bill and I went to high school together; don't think I ever talked to him then.  He has an email list made up of Mt. Morris people, and people he knew in business.  Here's what he says about the current economy.

"April earnings are driven by two factors.  The economy is growing at AROUND 3 % AND THE WORLD ECONOMIES ARE GROWING but at not a 3% rate, but growing.  Corporate taxes will be down substantially.  The 21% is the announced rate but some will be less.  Also corporations can now expense  capital expense 100% immediately which is huge.  Normally that write off takes a few years.   People's incomes are now growing.  Wages were up 2.5% a few months ago and will be higher when announced at for the time period December 31.  Obama put 10 trillion of debt on the country.   The Trump administration has avoided debt at this point.  The total size of government is now lower as all cabinet members have reduced their areas of responsibility.  All the bitching by the lefties over the state dept. cutting back is real as the hiring freeze for all departments work.  The lefties feel this is a negative while those of us who worked in the private sector understand how cut backs in bloated organizations make them more efficient and better communicators.  The lowest cut back I have hear is 1% while the biggest cut back I heard was 6%, but again all participated.  Never heard of the size of the U.S.A. government going down, amazing. I wonder if the country and the U.S.A. voters will ever realize the private sector people in government as opposed by career politicians and academia is very much different as to accountability and results. "  

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