New Economic Figures a Shot Across Bow for Governments
Several recently released economic indicators are far worse than expected.
A little more than a week ago, we learned that the United States’ gross domestic product (GDP) grew by only 1.8 percent in the first quarter of 2011, well below the projected 2.2 percent. In May, unemployment jumped to 9.1 percent as only 54,000 new jobs were added. Compare this with several months whereupon more than 200,000 jobs were added to payrolls. The dollar’s value is being whittled away by the scourge of inflation as the Federal Reserve continues to try and pump up our economy with printed money. International investors are scurrying away from dollars as our economic growth slows significantly, and the dollar is falling against other world currencies. To put it briefly, things are not looking up for our economy.
These downward-trending economic indicators represent a warning for local governments across the United States, including right here in the Brazos Valley.
