Posted by
Dawnsblood on Sunday, January 14, 2007 8:14:21 PM
Economists are tripping over each other to upgrade the economy from 'soft landing' to accelerating growth. Not bad at all if you ask me. Now how long before the Democrats try to claim it as their own?
Economists are hastily upgrading their forecasts for the US economy after a series of surprisingly strong reports suggesting the so-called "soft landing" may be over and growth is accelerating.
Over the past week, surprises have come in stronger-than-expected
reports on US job creation, the trade balance and retail sales -- all
key contributors to economic activity.
Lehman Brothers chief US economist Ethan Harris
on Friday boosted his forecast for fourth quarter 2006 growth to an
annualized rate of 3.3 percent, a leap from the firm's prior call for
just 2.0 percent growth.
"After slowing in November, the economy seems to have regained its stride," Harris said.
"With the last of the major data in, we are now revising fourth quarter
GDP to an above-trend 3.3 percent. A wide range of indicators have been
stronger than expected. Most important have been the strong consumption
data and the surprising improvement in the trade balance."