Who's Right, Americans or Economists?

04-30-2011 • TheAutomaticEarth.blogspot.com

If US party politics is your thing (it definitely ain't mine), Gallup also dove into differences there. And even though 42% of Democrats see a growing economy, vs only 14% of Republicans, what strikes me is that even among Democrats, a 56% majority "voted" either slowing, recession or depression, against a giant 86% of Republicans. Somewhat curiously, the richest echelon is almost on par with the average American, with 69% saying either slowing, recession or depression. Now contrast all of this, for a moment, with this week’s Federal Open Market Committee (FOMC) statement that "the economic recovery is proceeding at a moderate pace" (already one notch down from last month's "firmer footing"). Then contrast it with an Associated Press survey of 42 "leading" economists (which was done prior to this week's GDP numbers). And allow me some "live" commentary. AP survey: Only oil shock can stop economy now The American economy is now strong enough to withstand Middle East turmoil and the Japanese nuclear crisis. Only a big rise in the price of oil could stop it now. Those are the findings of an Associated Press survey of leading economists, who are increasingly confident in a recovery that is nearly two years old. They expect the economy to grow faster every quarter this year. In part, that's because the economists think Americans will spend more freely in the coming months.