Comments on: Week of February 1st, 2010. Let’s talk about GDP http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/ By Professor Yelenna Rondon, MSIM, CFA. Fri, 13 May 2011 04:24:07 +0000 http://wordpress.org/?v=2.8.4 hourly 1 By: Ultrabarrel http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1850 Ultrabarrel Thu, 11 Feb 2010 15:19:35 +0000 http://yrimc.com/blog/?p=279#comment-1850 In my opinion, i believe that the GDP will sustain steady growth in the year 2010. According to the Bureau of Economic Analysis of the Department of Commerce(BEA), "The increase in real GDP in the fourth quarter primarily reflected positive contributions from private inventory investment, exports, and personal consumption expenditures (PCE)" which in simpler terms means that, because of private businesses, exports, investments and the latest PCE report, the GDP has improved. The reason i believe this 5.7 increase in GDP means a steady growth is because, now with consumers buying more than ever as well as the government spending continues, these factors will only continue to increase therefore improving the economy. In my opinion, i believe that the GDP will sustain steady growth in the year 2010. According to the Bureau of Economic Analysis of the Department of Commerce(BEA), “The increase in real GDP in the fourth quarter primarily reflected positive contributions from private inventory investment, exports, and personal consumption expenditures (PCE)” which in simpler terms means that, because of private businesses, exports, investments and the latest PCE report, the GDP has improved. The reason i believe this 5.7 increase in GDP means a steady growth is because, now with consumers buying more than ever as well as the government spending continues, these factors will only continue to increase therefore improving the economy.

]]> By: bull dog 20 http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1832 bull dog 20 Wed, 10 Feb 2010 02:11:15 +0000 http://yrimc.com/blog/?p=279#comment-1832 nnn nnn

]]> By: bull dog 20 http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1831 bull dog 20 Wed, 10 Feb 2010 01:56:57 +0000 http://yrimc.com/blog/?p=279#comment-1831 This week the US government announced the US gross domestic product (GDP) expanded at 5.7 annual rate in the 4th quarter. This exceeds most estimates, but many economists see this growth unsustainable and I think these numbers are misleading. Finical Guide Money Morning reported when you strip out inventories you see real final sales worth 2.2 this is not a fantastic number (said tom porcelli, senior economist at RBC Capital Market) I think, that businesses that ran down inventories during the recession have restocked themselves and its unrealistic to think they can continue the same growth over the next year. This week the US government announced the US gross domestic product (GDP) expanded at 5.7 annual rate in the 4th quarter. This exceeds most estimates, but many economists see this growth unsustainable and I think these numbers are misleading. Finical Guide Money Morning reported when you strip out inventories you see real final sales worth 2.2 this is not a fantastic number (said tom porcelli, senior economist at RBC Capital Market) I think, that businesses that ran down inventories during the recession have restocked themselves and its unrealistic to think they can continue the same growth over the next year.

]]> By: tkamalon01 http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1828 tkamalon01 Sat, 06 Feb 2010 05:53:12 +0000 http://yrimc.com/blog/?p=279#comment-1828 the Us economy grew faster last quarter 2009, because the GDP reached 5.7 % higher since 2003. This situation is good first for the government who see a kind of relief and take it like a tool to convince employers to hire more workers. The rate of unemployement is still growing, which isn't a good sign for the politics. In other side, employers are happy to produce more goods with less labor. This growth of GDP is not the result of the raise of buyers of final products. Buyers consume much when jobs opportunities are offered. Last, international trade also increased; exports went up twice as fast as imports the Us economy grew faster last quarter 2009, because the GDP reached 5.7 % higher since 2003. This situation is good first for the government who see a kind of relief and take it like a tool to convince employers to hire more workers. The rate of unemployement is still growing, which isn’t a good sign for the politics. In other side, employers are happy to produce more goods with less labor. This growth of GDP is not the result of the raise of buyers of final products. Buyers consume much when jobs opportunities are offered. Last, international trade also increased; exports went up twice as fast as imports

]]> By: jrs328 http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1827 jrs328 Fri, 05 Feb 2010 20:03:53 +0000 http://yrimc.com/blog/?p=279#comment-1827 The lastest report from the commerce dept announced that the GDP for the forth quarter was up at 5.7% . This may have been due to that consumer spending was up because of the holiday season. The retailers felt a need to stock up inventories due to consumer demand and increased spending. this number does not indicate sustainable economic growth for the united states as jobs and spending may still be cut back during this recession. spending may have only been up due to promotions and seasonal need. The lastest report from the commerce dept announced that the GDP for the forth quarter was up at 5.7% . This may have been due to that consumer spending was up because of the holiday season. The retailers felt a need to stock up inventories due to consumer demand and increased spending. this number does not indicate sustainable economic growth for the united states as jobs and spending may still be cut back during this recession. spending may have only been up due to promotions and seasonal need.

]]> By: Gear Head http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1826 Gear Head Fri, 05 Feb 2010 16:53:42 +0000 http://yrimc.com/blog/?p=279#comment-1826 According to New York Times, 5-7 % GDP is very good; the problem is that’s its misleading.”The worrying thing here is that so much of the growth represents inventory shifts”. The rebound was not a newfound economic dynamism, but was however the slowing pace of inventory liquidation. I feel that this temporary boost will not last because of the amount of dept Americas is in and the unanswered question of how to raise employment. Overall this increase in GDP is a sign of temporary hope, unfortunately it probably won’t stay. According to New York Times, 5-7 % GDP is very good; the problem is that’s its misleading.”The worrying thing here is that so much of the growth represents inventory shifts”. The rebound was not a newfound economic dynamism, but was however the slowing pace of inventory liquidation. I feel that this temporary boost will not last because of the amount of dept Americas is in and the unanswered question of how to raise employment. Overall this increase in GDP is a sign of temporary hope, unfortunately it probably won’t stay.

]]> By: misslily http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1825 misslily Fri, 05 Feb 2010 03:07:56 +0000 http://yrimc.com/blog/?p=279#comment-1825 People seem to spent more than 2 years or a year ago. Retail and small business seem to also increase, more job opening and everyone seem to be more realiable with their living. our country export a lot out to other country such as car, product...etc! government spent more money on walfare. private consumption is growing well. People seem to spent more than 2 years or a year ago. Retail and small business seem to also increase, more job opening and everyone seem to be more realiable with their living. our country export a lot out to other country such as car, product…etc! government spent more money on walfare. private consumption is growing well.

]]> By: LolitaMermaidChunsa http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1824 LolitaMermaidChunsa Fri, 05 Feb 2010 03:00:00 +0000 http://yrimc.com/blog/?p=279#comment-1824 Considering that the GDP was in the negatives percentage at the beginning of this year, 5.7% is quite an improvement. However, since it is mainly do to the fact that this increase was from companies improving on their inventory last month--says an Article on TradingEconomics--this increase may not bring stability, through the next months or so. An example would from the happenings of Piercing Pagoda at Liberty Tree Mall, where I work. During the month of January, Piercing Pagoda had been readjusting our inventory by having several items being recalled and only a few items being shipped in. As this was in process, are sales each day had been at 100% from our set goals. Unfortunately, near the end of the month, sales had gone down and we missed our goal for the entire month by a few hundreds of dollars. Now with the start of a new month, the piercing pagoda kiosk at the Liberty Mall--not too mention other stores in the mall--has been loosing sales rather than gaining like we did the month before. In conclusion, I would say it's still too soon for the GDP to be stabled for long. Considering that the GDP was in the negatives percentage at the beginning of this year, 5.7% is quite an improvement. However, since it is mainly do to the fact that this increase was from companies improving on their inventory last month–says an Article on TradingEconomics–this increase may not bring stability, through the next months or so.
An example would from the happenings of Piercing Pagoda at Liberty Tree Mall, where I work. During the month of January, Piercing Pagoda had been readjusting our inventory by having several items being recalled and only a few items being shipped in. As this was in process, are sales each day had been at 100% from our set goals. Unfortunately, near the end of the month, sales had gone down and we missed our goal for the entire month by a few hundreds of dollars. Now with the start of a new month, the piercing pagoda kiosk at the Liberty Mall–not too mention other stores in the mall–has been loosing sales rather than gaining like we did the month before. In conclusion, I would say it’s still too soon for the GDP to be stabled for long.

]]> By: misslily http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1823 misslily Fri, 05 Feb 2010 02:59:13 +0000 http://yrimc.com/blog/?p=279#comment-1823 GDP is the monetary value of all the finished good and services produced with a country's borders in a specific time period through GDP is usually calculated or annual basis. It does not tell us about unemployment or productivity, or whether economic growth with sustainable over time. It tells us about consumer spending, private business investment, government spending and net trade. My opinion for this question is that, it is good to see an increasing of our GDP. To increase the number there are so many way to help and grow our country so our market. It's from secondery market, people start to spend their money and paying of their needs. That's help smaller business and so retail. By help those people could help other students and other business to open up their position for more and more help and need from those who need the job. private investment getting little better. The bank start giving higher interest for CD, MMS and other product, and that develope the primary market to run their investment. Real estate are getting alot better than 2008 years. Things slowely starting to run and market beginning to move up and government starting to improve their benefit and income also with their investment. GDP is the monetary value of all the finished good and services produced with a country’s borders in a specific time period through GDP is usually calculated or annual basis. It does not tell us about unemployment or productivity, or whether economic growth with sustainable over time. It tells us about consumer spending, private business investment, government spending and net trade.

My opinion for this question is that, it is good to see an increasing of our GDP. To increase the number there are so many way to help and grow our country so our market. It’s from secondery market, people start to spend their money and paying of their needs. That’s help smaller business and so retail. By help those people could help other students and other business to open up their position for more and more help and need from those who need the job. private investment getting little better. The bank start giving higher interest for CD, MMS and other product, and that develope the primary market to run their investment. Real estate are getting alot better than 2008 years. Things slowely starting to run and market beginning to move up and government starting to improve their benefit and income also with their investment.

]]> By: Cory http://yrimc.com/blog/2010/01/31/week-of-february-1st-2010-lets-talk-about-gdp/comment-page-2/#comment-1822 Cory Fri, 05 Feb 2010 02:49:58 +0000 http://yrimc.com/blog/?p=279#comment-1822 The GDP being up 5.7% in the fourth quarter of 2009 is a good sign for potential economic growth, but it does not show us that it will be sustainable over time. Some components of the GDP increase are; that overall 3.4% was due to the replenishment of inventories, business investment rose 2.9%, foreign trade increased at the rate of 28.1%, investment in equipment went up 13.3%, and investment in homes grew by 5.7%. All these are positive signs of economic growth but the unemployment rate still needs to decrease dramatically for there to truly be sustainable economic growth. Joseph Lazzaro in "Economic Surge Caps 2009" on dailyfinance.com, says that "U.S. GDP fell 2.4% in 2009 -- the worst calendar year GDP performance since 1946, with more than 7.6 million job lay-offs. Comparing the fourth quarter of 2008 to the fourth quarter of 2009, the economy expanded just 0.1%." It will be interesting to see if the GDP increases even more in the first quarter of 2010. The GDP being up 5.7% in the fourth quarter of 2009 is a good sign for potential economic growth, but it does not show us that it will be sustainable over time. Some components of the GDP increase are; that overall 3.4% was due to the replenishment of inventories, business investment rose 2.9%, foreign trade increased at the rate of 28.1%, investment in equipment went up 13.3%, and investment in homes grew by 5.7%. All these are positive signs of economic growth but the unemployment rate still needs to decrease dramatically for there to truly be sustainable economic growth. Joseph Lazzaro in “Economic Surge Caps 2009″ on dailyfinance.com, says that “U.S. GDP fell 2.4% in 2009 — the worst calendar year GDP performance since 1946, with more than 7.6 million job lay-offs. Comparing the fourth quarter of 2008 to the fourth quarter of 2009, the economy expanded just 0.1%.” It will be interesting to see if the GDP increases even more in the first quarter of 2010.

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