The personal income & outlays BEA economic report for November 2010 is out. This is PCE, which is normally the largest component of GDP. From the report, we predict Q4 2010 PCE will be at least 4% in growth.
CNBC has an interesting news bit about something Volker said. First off, let me give kudos to AmericaBlog for first picking this up. In a meeting at the White House, the famed former Fed chairman basically said we need to rebalance the economy. That to have a GDP where over half (well 70% give or take) is due to consumption is not sustainable long term.
The alternatives to help bolster future economic growth include boosting exports, applying innovative technology to green issues and improving the nation's infrastructure, Volcker said.
The former Federal Reserve chairman, who now heads the White House Economic Recovery Advisory Board, said Obama understands that "We cannot have so much consumption."
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