Why Americans Feel So Good

Trump came to office on the promise of the American economy will boom…he will ax crappy trade agreements….he will make the free market blossom for ALL Americans.

The stock markets are going well and Trump points to that as proof positive that he is doing what he promised.

It is true that markets are doing well……sadly the same cannot be said for the economy of this country….at best it is mediocre.

Then why are Americans pleased and satisfied with this situation?

A strange thing seems to be happening to the US economy. On surveys, businesspeople and consumers say the future looks bright. But recent economic activity hasn’t appeared very robust.

Andrew Ross Sorkin of the New York Times noted this in a recent article about mergers and acquisitions. A number of surveys have been reporting that chief executive officers are highly optimistic. For example, the website Chief Executive and the Wall Street Journal/Vistage Small Business CEO Survey both report a surge in CEO confidence since the 2016 election, while Business Roundtable’s CEO Economic Outlook Survey finds an average level of confidence.

But as Sorkin reports, M&A activity is at its lowest level since 2013, and has fallen 40 percent in the past two years. Share buybacks have also slowed. Those “hard” numbers indicate that whatever CEOs are saying on paper, they aren’t taking actions that signal confidence in the future of their businesses. Capacity usage, which fell slightly in May, is another indicator of that true business sentiment is far from giddy.

Source: Why Americans Feel So Good about a Mediocre Economy – ASHARQ AL-AWSAT English

It is typical….Americans have always been satisfied with mediocrity.

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20 thoughts on “Why Americans Feel So Good

  1. I never trust the stock market as an indicator of a good economy. Look what happened in 1929! (And 2008)
    It also leaves companies open to asset-stripping, sell-offs, and foreign takeovers. Better to have a lower market, but full employment, with employed consumers buying local products and services.
    Best wishes, Pete.

    1. I know I feel the same but the American people hear the news that markets are soaring and they feel good and pat the prez on the back when he probably had very little to do with it…..propaganda is a good thing right? LOL chuq

  2. `When Mr. Trump said that he would improve the economy, people mistakenly assumed that he was talking about us little people. Still, we’re still in the legislative lag stage when his policies have not had their full impact.

  3. Isn’t there a line that if it’s great for business it’s going to be bad for the people? We’re taught to revere CEOs and the businessmen that rose through the ranks to become millionaires and all. Seriously, after Enron, WorldCom, Tyco, and all the rest the past 20 years, isn’t enough enough? Shouldn’t we know that something that can be manipulated on a whim can’t be the foundational indicator of what’s “good” in our country? We know this only when bad things happen–as long as the engine’s running, why stop it and take it the vehicle in for maintenance?

    1. There is the real problem….ignorance. as long as all is well then we do not care….when it goes bad we ask what happened…..ignorance…….chuq

  4. I feel good because I am well fixed and do not have to worry what the Economy does unless it tanks completely like it did in the 1920s and if it does that I think I can escape the appropriate climes where I can live on next to nothing ….like some of my friends have already done ….

      1. That is their fault, not mine! They had every opportunity that ever came my way and probably more. If they were too damned dumb or otherwise obsessed to take advantage then that is their fault entirely.

      2. By the way — In America man is not the victim of “Fortune.” In America man is able to cont rol every aspect of his fortunes through the choices he makes or does not make.

  5. . We know this only when bad things happen–as long as the engine’s running, why stop it and take it the vehicle in for maintenance?

  6. . Shouldn’t we know that something that can be manipulated on a whim can’t be the foundational indicator of what’s “good” in our country?

  7. Hello! The Student Economist blog has only just started, but if you enjoy a quick and enjoyable read about the world of economics, visit the website!  http://www.thestudenteconomist2017.wordpress.com

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