Has the Economic Tide Turned?

The economy won't get better until we quit shipping our equipment and labor overseas and turning around and buying these products from the big box stores to save a dime. We are shooting ourselves in the foot. Our dollars are going overseas to produce this stuff and then we buy it back, still sending more of our money overseas. We are destroying ourselves from the inside out.

YUP. I was going to ask how much of this equipment is being exported. Read this as selling off jobs. Obviously this is a generalization.

If it is for retooling domestically, that shows signs of confidence in the market ... Or gambling ... not necessarily a recovery. The housing market is a much better indicator.

The bottom line of the turn of the 'Economic Tide' is the increase in the tax base ... IE people with jobs. When businesses are purchasing capital, it is going to reduce the tax base as profits decrease ... or debt is increased.

The US government employs 30-45% directly to indirectly ... Lowering this percentage decreases the tax load. Economy improves = decrease government spending, increase tax base, and keeping spending at home.

My market (hospital infrastructure) has been fairly flat for the last 5 years ... after growing for the previous 10. We have not had to lay off anyone, but we have not replaced as many that have retired. We are becoming more horizontal in the last 5 years. We employ around 200 and contract another 30-40.

Our bids have been going out with lower margins and longer completion periods ... I'm working longer hours ... if that says anything.

Can you expect the economy to improve if:

1. USA GDP is about $14 trillions;
2. World GDP is about $95 trillions and..
3. Hedge funds are ...over $500 trillions;

On top of that $trillions own to China alone and in addition costs of wars adds to the grim picture?

Yes, it has for us. We are filling orders that were delayed or cancelled last year. We had actually increased marketing this year, so maybe we are just very smart. It seems very robust. We are not a manufacturer. We have acquired additional space and added personnel.

No.