{"id":18893,"date":"2016-03-15T19:13:33","date_gmt":"2016-03-16T00:13:33","guid":{"rendered":"http:\/\/olduvai.ca\/?p=18893"},"modified":"2016-03-15T19:13:33","modified_gmt":"2016-03-16T00:13:33","slug":"us-recession-data-shows-its-a-very-short-road-to-capital-controls","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=18893","title":{"rendered":"US recession data shows it\u2019s a very short road to capital controls"},"content":{"rendered":"
\"recession-capital-controls\"<\/div>\n

US recession data shows it\u2019s a very short road to capital controls<\/a><\/h3>\n
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\u201cProsperity is like a Jenga tower. Take one piece out and the whole thing can fall.\u201d<\/div>\n<\/div>\n
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That\u2019s a direct quote from John Williams, the President of the San Francisco Federal Reserve Bank in a speech he gave a few weeks ago.<\/p>\n

He could have just as easily been talking about propaganda. The Fed, the White House, Wall Street, the media have a vested interest in peddling a certain narrative about the economy.<\/p>\n

The narrative goes something like this: \u201cEverything\u2019s awesome. Stop asking questions\u201d.<\/p>\n

But if you look at their own data, the numbers tell a different story.<\/p>\n

My team and I were recently studying US manufacturing indices, something that has traditionally been a strong indicator of recession.<\/p>\n

This is data collected by the Federal Reserve; they survey manufacturing businesses and ask if factory orders are growing, shrinking, or relatively unchanged.<\/p>\n

You\u2019d think that based on this \u201ceverything is awesome\u201d narrative that all the numbers would be growing.<\/p>\n

And yet, much of the data show that manufacturing is shrinking. Or to be even more clear, that the US is in a manufacturing recession.<\/p>\n

In Texas, for example, just 4% of businesses report that they are growing. 38% are shrinking.<\/p>\n

The Philadelphia Fed\u2019s Manufacturing Index has been in recession since September of last year.<\/p>\n

The San Francisco Fed\u2019s Total Factor Productivity is also reporting negative growth.<\/p>\n

The New York Fed\u2019s Empire State Manufacturing Index was at minus 16.6 for February. In fact, the last time the index was below -15 was in October 2008, ten months into the Great Recession.<\/p>\n

The numbers are all pretty clear: there\u2019s an obvious industrial and manufacturing downturn.<\/p>\n

But that shouldn\u2019t matter because Fox News, CNN, CNBC, and the White House tell us that consumer spending drives the US economy; industrial production is irrelevant.<\/p>\n

 <\/p>\n

…click on the above link to read the rest of the article…<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

US recession data shows it\u2019s a very short road to capital controls \u201cProsperity is like a Jenga tower. Take one piece out and the whole thing can fall.\u201d That\u2019s a direct quote from John Williams, the President of the San Francisco Federal Reserve Bank in a speech he gave a few weeks ago. He could […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[110,1264,7312,7313,827],"class_list":["post-18893","post","type-post","status-publish","format-standard","hentry","category-economics","tag-capital-controls","tag-recession","tag-simon-black","tag-sovereign-man","tag-united-states"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/18893","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=18893"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/18893\/revisions"}],"predecessor-version":[{"id":18894,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/18893\/revisions\/18894"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=18893"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=18893"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=18893"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}