Local firm says economy will not improve before next summer

[Sherman A1]

(KMOV) – A new report shows those who have a job do not necessarily have job security, and a local firm says the number of recent layoffs proves that the economy is weak.
News 4’s Marc Cox talked with Joel Prakken from Macroeconomic Advisors, a local St. Louis firm, that analyzes the economy for leading politicians and companies. Prakken said the firm is not optimistic that it will see any major improvements until possibly next year.
The latest layoff numbers are surprising and caught many who monitor the business world off guard.

In June, 66,000 positions were cut at large U.S. companies such as Lockeed Martin and Merck.

News 4 found that the recent debt limit negotiations did not give the business world any confidence and played a role in recent job layoffs.

Illinois Senator Mark Kirk said that congress deserves a lot of the blame.

Despite the loss of thousands of jobs, companies are still making money, but waiting for the economy to bounce back.


http://www.kmov.com/news/local/New-report-shows-having-a-job-doesn-126730623.html



Me thinks it will not improve next year, as election years are the time that the big money sits back and waits for the results. Meaning it will be 2013 before anything breaks loose.

[Angry Dragon]

1. Until the money at the top is taxed nothing will change

It will only get worse and worse every year

[Sherman A1]

2. Agreed

[TheKentuckian]

3. It'll most likely get worse and worse. States are cutting everything, the Federal government is in

austerity mode, too many don't have work, those that do are seeing declining wages, the tax rates reward hoarding. I have no idea what improvement would be fueled by here and even if there were some lift, it wouldn't be able to escape the drag from government contraction.

[Historic NY]

4. He got the GOP memo.

[Sherman A1]

6. Not necessarily the GOP memo

Years ago my Mother who grew up in the Great Depression, told me that the economy always slows during an election year. She said the reason why was that the big money guys held back waiting for the election results to decide which way the wind was blowing before deciding upon how to spend their cash. I thought that it was a nice story, yet when running my own retail business for 18 years, I found she was absolutely correct, so I would suspect this one to be no different.

She was right about another thing regarding politics (actually I think Mom's are generally right about most everything).

"When the Democrats are in the White House, my wallet gets thicker, When the Republicans are in, my wallet gets thinner." She always voted Democrat.

[EFerrari]

7. I've yet to read an economist who disagrees. Have you?

[udbcrzy2]

5. I live in the Lou

And it's even hard to get a part-time job at McDonalds, now that pretty damn bad.

[Sherman A1]

8. Agreed