Posts

It’s Official: 2012 Deficit Was $1.087T; $1T+ All 4 Yrs of Obama’s 1st Term

/1 Comment/in , /by

Photo Credit: AP

Photo Credit: AP

The Congressional Budget Office last week released updated historical budget data for the federal government, reporting a deficit of $1.087 trillion in fiscal 2012.

2012 marked the fourth straight year—and the only four years in the history of the nation–when the federal government’s deficit topped $1 trillion.

Last year’s $1.087 trillion deficit was even greater in inflation-adjusted dollars than the peak World War II deficit of fiscal 1943—which was $54.554 billion in 1943 dollars and $723.8714 billion in 2012 dollars, according to the Bureau of Labor Statistics online inflation calculator.

The deficit has also remained at a higher percentage of GDP over the last four years than at any time since the conclusion of World War II (which ended during fiscal 1946, which began in June 1945).

In February, the CBO had initially calculated that the deficit for fiscal 2012, which ended on Sept. 30, 2012, had been $10894 trillion. That was based on an estimation that the federal government had taken in $2.4491 trillion in taxes during the year and spent $3,5385 trillion.

Read more from this story HERE.

Obama Recovery: US GDP Contracts in Fourth Quarter of 2012

/3 Comments/in , /by

The U.S. economy posted a stunning drop of 0.1 percent in the fourth quarter, defying expectations for slow growth and possibly providing incentive for more Federal Reserve stimulus.

The economy shrank from October through December for the first time since the recession ended, hurt by the biggest cut in defense spending in 40 years, fewer exports and sluggish growth in company stockpiles.

The Commerce Department said Wednesday that the economy contracted at an annual rate of 0.1 percent in the fourth quarter. That’s a sharp slowdown from the 3.1 percent growth rate in the July-September quarter.

The surprise contraction could raise fears about the economy’s ability to handle tax increases that took effect in January and looming spending cuts.

Still, the weakness may be because of one-time factors. Government spending cuts and slower inventory growth subtracted a total of 2.6 percentage points from growth.

Read more from this story HERE.

Holiday Sales Growth Tanks Amid Economic Fears, Hits Lowest Level Since 2008

/1 Comment/in , , /by

WASHINGTON (AP) — U.S. shoppers spent cautiously this holiday season, a disappointment for retailers who slashed prices to lure people into stores and now must hope for a post-Christmas burst of spending.

Sales of electronics, clothing, jewelry and home goods in the two months before Christmas increased 0.7 percent compared with last year, according to the MasterCard Advisors SpendingPulse report.

That was below the healthy 3 to 4 percent growth that analysts had expected — and it was the worst year-over-year performance since 2008, when spending shrank sharply during the Great Recession. In 2011, retail sales climbed 4 to 5 percent during November and December, according to ShopperTrak.

This year’s shopping season was marred by bad weather and rising uncertainty about the economy in the face of possible tax hikes and spending cuts early next year. Some analysts say the massacre of schoolchildren in Newtown, Conn., earlier this month may also have chipped away at shoppers’ enthusiasm.

Retailers still have time to make up lost ground. The final week of December accounts for about 15 percent of the month’s sales, said Michael McNamara, vice president for research and analysis at MasterCard Advisors SpendingPulse.

Read more from this story HERE.

Romney campaign to announce VP pick via smart phone app

/0 Comments/in , /by

Photo credit: from_ko

Mitt Romney’s campaign announced Tuesday that supporters can sign up to be the first to learn of the presumptive Republican nominee’s vice presidential choice by downloading a new smartphone app.

“The first official way to learn the name of the Republican vice presidential candidate is by using our new ‘Mitt’s VP’ app,” said Romney digital director Zac Moffatt in a statement. “Users of the app will be the first to get the news on the biggest political decision of the year through an instantaneous alert on the one device most people carry around the clock — their phone.”

The app will push a notification to supporters’ phones instantly after the name is released from Romney headquarters, and allow users to share and comment on it across a variety of social networks. The application will be free on both the iPhone and Android operating systems, and can be downloaded here.

The approach is the evolution of a 2008 move by the Obama campaign that sent a text message to supporters announcing the selection of now-Vice President Joe Biden. That approach was widely heralded as a way for the Obama campaign team to collect phone numbers for supporters that could later be used for get-out-the-vote and fundraising efforts. The president’s campaign continues to send text messages to users’ phones today.

But depending on how the Romney app works, it could provide even more demographic information to the campaign. Upon installation, the application asks permission to access data about where a user is located, and urges supporters to log in using social networks like Twitter. That could allow the campaign large-scale data harvesting, an invaluable tool for campaign staff looking to tailor advertising and fundraising efforts.

Read more from this story HERE.