A Pretty Good Argument

Via Barry Ritholtz (click to enlarge):


That's a pretty good argument.

I would contend that even if we're in a recession, it's a mild one so far and likely to remain mild. An unemployment rate of 5% (6% used to be considered "full employment) is not that bad and not a big incentive for consumers to stop spending. Put another way, there's just not much fear in the public right now.

Added: Remember when the economy was kinda sorta strong and we needed tax cuts? Now that the economy is weaker guess what. That's right, we need more tax cuts!