Over the cliff: Durable goods orders drop 13.2% in August; Update: Q2 GDP downgraded from 1.7% to 1.3%

posted at 8:39 am on September 27, 2012 by Ed Morrissey

A key measure of the economy, especially in manufacturing, just had the bottom fall out.  Orders for durable goods dropped 13.2% in August, the worst decrease in almost four years, and a large signal that the American economy is diving into a recession:

New orders for manufactured durable goods in August decreased $30.1 billion or 13.2 percent to $198.5 billion, the U.S. Census Bureau announced today. This decrease, down following three consecutive monthly increases, was the largest decrease since January 2009 and followed a 3.3 percent July increase. Excluding transportation, new orders decreased 1.6 percent. Excluding defense, new orders decreased 12.4 percent. Transportation equipment, down following four consecutive monthly increases, had the largest decrease, $27.8 billion or 34.9 percent to $51.9 billion.

The news was even worse for capital goods, indicating that businesses have stopped investing in themselves:

Nondefense new orders for capital goods in August decreased $18.5 billion or 24.3 percent to $57.7 billion. Shipments decreased $1.2 billion or 1.7 percent to $69.5 billion. Unfilled orders decreased $11.9 billion or 2.0 percent to $580.5 billion. Inventories increased $1.5 billion or 0.9 percent to $171.9 billion. Defense new orders for capital goods in August decreased $4.1 billion or 40.1 percent to $6.1 billion. Shipments decreased $0.1 billion or 1.7 percent to $8.1 billion. Unfilled orders decreased $2.0 billion or 1.2 percent to $165.6 billion. Inventories increased $0.4 billion or 1.8 percent to $21.4 billion.

Unfilled orders — the “backlog” on which every manufacturer relies for continuity and security — also dropped by 1.7%, the largest drop since December 2009:

Unfilled orders for manufactured durable goods in August, down following two consecutive monthly increases, decreased $16.9 billion or 1.7 percent to $978.7 billion. This was the largest decrease since December 2009 and followed a 0.7 percent July increase. Transportation equipment, also down following two consecutive monthly increases, had the largest decrease, $12.0 billion or 2.1 percent to $568.6 billion.

Inventories, however, rose by 0.6%, which indicates that demand is perhaps even worse than this report would indicate.

Reuters points out that most of this fall came from transportation:

New orders for long-lasting U.S. manufactured goods in August fell by the most in 3-1/2 years, pointing to a sharp slowdown in factory activity even as a gauge of planned business spending rebounded. …

Economists polled by Reuters had expected orders for durable goods — items from toasters to aircraft that are meant to last at least three years — to fall 5 percent.

Last month, the drop in orders reflected weak aircraft and automobiles demand. Boeing received only one aircraft order in August, down from 260 in July, according to information posted on the plane maker’s website.

Transportation equipment tumbled 34.9 percent after racing ahead 13.1 percent in July. Excluding transportation, orders fell 1.6 percent after dropping 1.3 percent the prior month. Economists had expected this category to rise 0.3 percent after a previously reported 0.6 percent fall.

And while capital goods orders dropped by a huge margin, non-defense capital orders actually rose:

Non-defense capital goods orders excluding aircraft, a closely watched proxy for business spending plans, rose 1.1 percent, halting two straight months of hefty declines. That was above economists’ expectations for 0.5 percent gain.

That makes this appear to be a “fiscal cliff” reaction, as defense contractors lose orders ahead of the sequestration cuts.  That may boost Republican efforts to find a solution to that part of the sequestration equation, and put pressure on the White House to fix the problem as a way to avoid these kinds of headlines before the election.

Speaking of which, the BEA also delivered its final word on Q2 growth, scaling down their last estimate of 1.7% to 1.3%:

Real gross domestic product — the output of goods and services produced by labor and property located in the United States — increased at an annual rate of 1.3 percent in the second quarter of 2012 (that is, from the first quarter to the second quarter), according to the “third” estimate released by the Bureau of Economic Analysis. In the first quarter, real GDP increased 2.0 percent.

The GDP estimate released today is based on more complete source data than were available for the “second” estimate issued last month. In the second estimate, the increase in real GDP was 1.7 percent (see “Revisions” on page 3).

Real final sales of domestic product rose 1.7%, which is at least a decent sign that demand was better than overall sales.  It’s still a stagnation figure, but the upshot is that inventories declined overall as sales outstripped production by a small amount.  Under normal circumstances, that would be a good indicator for better days, but the 13% tumble in durable goods shows that the economy appears headed in the opposite direction.

Update: While we’re on economic indicators, the weekly jobless claims report had a surprising decline in applications:

In the week ending September 22, the advance figure for seasonally adjusted initial claims was 359,000, a decrease of 26,000 from the previous week’s revised figure of 385,000. The 4-week moving average was 374,000, a decrease of 4,500 from the previous week’s revised average of 378,500.

The advance seasonally adjusted insured unemployment rate was 2.6 percent for the week ending September 15, unchanged from the prior week’s unrevised rate. The advance number for seasonally adjusted insured unemployment during the week ending September 15 was 3,271,000, a decrease of 4,000 from the preceding week’s revised level of 3,275,000. The 4-week moving average was 3,295,500, a decrease of 15,000 from the preceding week’s revised average of 3,310,500.

We’ll see if this means anything significant, but I doubt this outweighs the sudden drop in manufacturing activity as an indicator of what’s ahead.


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Wasn’t it 2 weeks ago the media were proclaiming the bottom was met and we’re on the upswing?

SouthernGent on September 27, 2012 at 9:24 AM

Wow… 30 mins for ‘work work’.

Cody1991 on September 27, 2012 at 8:57 AM

Cody1991:

Sooooooooooooooooooo then,that free’s up 3:00AM!:)

canopfor on September 27, 2012 at 9:26 AM

Going in the right direction.

Good Lt on September 27, 2012 at 9:27 AM

The tragic and ironic part of this disaster economy is that the people who are hurt the most are those who support Obama the most, blacks, young people, single women with small children, etc…. But yet they will vote for him again because they want other people money and he promised them other people money…

mnjg on September 27, 2012 at 9:28 AM

As Obama’s policies prove more and more successful expect GOP to try to claim ownership of them.
 
lester on May 8, 2012 at 8:49 PM
 

rogerb on September 27, 2012 at 9:28 AM

Wasn’t it 2 weeks ago the media were proclaiming the bottom was met and we’re on the upswing?

SouthernGent on September 27, 2012 at 9:24 AM

You can bet that Rush will be playing the MSM montage of ALL the newscasters gleefully going on about “The great recovery!!” In fact, Mitt ought to borrow it for a commercial to show how lame the MSM is.

BettyRuth on September 27, 2012 at 9:28 AM

Romney campaign will see this bad economic news as reason to be less aggressive against Obama.

Mark1971 on September 27, 2012 at 9:29 AM

I don’t care what the unemployment rate says — I’m convinced those numbers are being manipulated. Or everyone is going on disability. Because we’ve all been in a hiring freeze for years now, and we might have layoffs again!

CambellBrown on September 27, 2012 at 9:24 AM

Manipulated? Why on earth would the administration do that? Besides, it can’t possibly be true because our media would be out there calling them on it, right? /

Sorry, I’m just so sick of the media whores lying their asses off to prop up this vile human being.

Happy Nomad on September 27, 2012 at 9:30 AM

Wow, that George W. Bush has been at it again . . .

TarheelBen on September 27, 2012 at 9:31 AM

I don’t care. Obama is awesome!

//sarc//

Solaratov on September 27, 2012 at 9:35 AM

If I were running a SuperPAC, I’d run an ad showing the video of the planes hitting the towers on 9/11, Palis cheering in the streets, and ROP animals torching our embassies and flag as a background to Obama audio from his disastrous UN speech “the future shouldn’t belong to those who blaspheme the prophet of islam”, his Cairo speech (where he praises the “holy koran”), etc.

The LSM would go insane, but I believe an ad like that would be even more successful than LBJ’s “Daisy” ad and turn this election around.

wildcat72 on September 27, 2012 at 9:36 AM

13% of durable goods. They blame Airplane orders. Do airplanes really make up that much of the durrable goods of the nation?

astonerii on September 27, 2012 at 9:36 AM

Peter Schiff at the Democrat National Convention, asks Democrats if they support a federal law to BAN CORPORATE PROFITS.

Watch what happens:

http://www.youtube.com/embed/07fTsF5BiSM

mountainaires on September 27, 2012 at 8:57 AM

This should be a MANDATORY watch!

Note to Obama trolls: you really, really won’t get why I said that.

Adjoran on September 27, 2012 at 9:36 AM

But but but the One is for abortion and gay marriage and equal pay and he gives me free stuff!! AND he is major eye candy and dreamy! //
Being in the financial biz, no one is taking out loans. Why? Cuz they’re scared of the future. We are so doomed.

Alibali on September 27, 2012 at 9:38 AM

…and a large signal that the American economy is diving into a recession:

No wonder Ogabe has a standing chance of being reelected if even allegedly wise right-wing bloggers are buying into his meme. Those who aren’t deaf, blind, and dumb should realize that we have been in the recession – a depression, more likely! – since 2008. The real unemployment numbers are in the Great Depression range, manufacturing is shedding jobs that are replaced by burger flippers and various “consultants”, and the only reason stock market has not yet collapsed is because Ben “Dover” Bernanke pumps monopoly money into it by the metric ton.

Archivarix on September 27, 2012 at 9:38 AM

Forward!! /

Anyone seeing numbers like this yet choosing to believe the One will actually help the manufacturing sector should have their head examined and their right to vote revoked.

changer1701 on September 27, 2012 at 9:39 AM

Yeah but just wait until “Summer of Recovery III” kicks in.

Libtard on anyday, 2012 at anytime

Gunlock Bill on September 27, 2012 at 9:40 AM

GDP in the 4th quarter of 2011 was a little over 4% and has steadily dropped since then to 1.25%. It is not disputable that the economy has become significantly worse in the past year.

eyedoc on September 27, 2012 at 9:41 AM

astonerii on September 27, 2012 at 9:36 AM

Well, it is not like we are actually producing things anymore.

We are a service-based economy…notice the overabundance of cell-phone stores in your area, and fast food joints, and video game stores.

In my life I never thought I ‘d ever see the day when the sale of just one civilian aircraft a month was considered a major boost to the American economy.

coldwarrior on September 27, 2012 at 9:42 AM

The only numbers mentioned on the local news in WI were the better than expected jobless claims. The casual voter knows nothing about GDP and could care less. That’s reality.

gumbyandpokey on September 27, 2012 at 9:45 AM

I don’t care what the unemployment rate says — I’m convinced those numbers are being manipulated. Or everyone is going on disability. Because we’ve all been in a hiring freeze for years now, and we might have layoffs again!

CambellBrown on September 27, 2012 at 9:24 AM

Yesterday I accompanied a friend to a “jobs fair” at our local Mall. The parking lot was packed with cars.

Only employers with available positions were to be there. Of course, the printed lists with open positions had been printed long ahead of the event.

Many tables for the employers were empty. They simply did not show up.

Many of the exhibitors were temp agencies.

Avon, Mary Kay and other companies were there, but they don’t fit my definition of an employer.

The state works commission was there directing people to their services at the website, but none of their representatives could answer questions.

For the most part exhibitors simply handed out a sheet of paper with information about their company or agency and told everyone to visit their website for job listings.

The whole event was a depressing waste of time.

Then we decided to visit some stores and ask questions to see what was going on – or not.

Most of the stores we visited were nearly empty. My friend asked if they were doing any seasonal hiring. The answer was, “probably – go to our website and apply”.

In general, I am noticing that traffic is sparse compared to a few years ago. Normally people are out and about doing errands and shopping. These days the roads are quiet. It’s odd, creepy and disconcerting.

Cody1991 on September 27, 2012 at 9:45 AM

FOUR MORE YEARS! FOUR MORE YEAR! FOUR MORE YEARS!

IR-MN on September 27, 2012 at 9:46 AM

the manufacturer I work for is small (200-500 employees) but we were bought by a huge multinational company based in Europe.

Our hiring holds are absolutely dire. We’ve got an engineering department that is literally dying out – everyone is ancient and retiring now, and we aren’t ALLOWED to hire any younger engineers to take over. Hence why half the engineers graduating from our local university can’t find jobs.

It’s like this everywhere in manufacturing now.

CambellBrown on September 27, 2012 at 9:46 AM

Ed, did you really write “Over the cliff”? What a coincidence! The Lord Himself said something to that effect — and by another coincidence, I happen to have it right here!

“SHE WILL SELL HERSELF”

Monday, 13 August 2012: Julie received this from the Lord today.

“I am planning an immense fall for America, says the Lord, a fall that will desolate and amaze her people. I am sending America sliding over the cliff into financial ruin. America’s fall has only begun, and there are many more chapters to be written before the tale is told. I am bringing financial ruin to this nation. And when I am through, her wealth will be scattered and gone, and she will sell herself for a piece of bread.

“Walk softly before Me in these days, says the Lord. For I am forming My people into My image even as I bring down America around you, says the Lord Who has mercy on you. Amen and amen.”

Gordy on September 27, 2012 at 9:47 AM

I work for a large steel and bearing manufacturer in Ohio, and we are undergoing undergoing second round of layoffs effective Friday. We’re losing 55 people from my department alone. Apparently the order book for the fourth quarter has gone off the cliff.

hoff on September 27, 2012 at 9:49 AM

It’s true that most voters don’t know what the GDP or unemployment numbers are. It doesn’t matter to them because they already know that the economy is a disaster, so the actual numbers are meaningless. Nobody who is about to lose their home because they’ve been unemployed for 3 years is going to change their vote because of fluctuations in economic statistics.

That being said, the economic statistics are getting worse, so its sort of a moot point anyway.

eyedoc on September 27, 2012 at 9:50 AM

‘We’re Going to Be Creating Between 250,000 and 500,000 jobs a Month!’

Joe Biden

Read more: http://nation.foxnews.com/joe-biden/2011/06/03/biden-flashback-were-going-be-creating-between-250000-and-500000-jobs-month#ixzz27g5thpQm

……Greatest Administration Evaaaaaaaaaaaaaaaa!!!!!

Baxter Greene on September 27, 2012 at 9:51 AM

Lots of economic news this morning … first time claims dropped unexpectedly, but until the 4-week average moves out of the 350-400K range, no one is going to get very excited. Durable goods showed a big drop, some of which was from a decrease in defense spending, but also autos and transportation. Ex-transport the orders were down 1.6% – not good, but not catastrophic … the GDP downgrade was not so unexpected, since we already knew that 2Q12 (April-June 2012) was a downer. Looking for an uptick in 3Q12 GDP, probably back to 2.0 – 2.5% …. Better news on the housing front this week, and a strong consumer confidence number on Tuesday may be confirmed by the U of Michigan number due out tomorrow …

Markets taking it all in stride, looking to move positive for the first time this week … watching Europe …

TouchdownBuddha on September 27, 2012 at 9:51 AM

FOUR MORE YEARS! FOUR MORE YEAR! FOUR MORE YEARS!

IR-MN on September 27, 2012 at 9:46 AM

Then do I finally get my skittle-pooping unicorn?

Laura in Maryland on September 27, 2012 at 9:51 AM

gumbyandpokey on September 27, 2012 at 9:45 AM

For once I agree with you. Now I need to go shower. I feel dirty.

donkichi on September 27, 2012 at 9:51 AM

Obama’s re-election is based entirely on the ignorance of a majority of the population to what anything in this article even means.

Tragic.

SoRight on September 27, 2012 at 8:48 AM

Never underestimate the power of stupid people in large groups. It’s what got us Obama in the first place. It’s beyond tragic…they have the power to destroy a nation.

lynncgb on September 27, 2012 at 9:51 AM

Don’t worry we will have 12 % growth in the second term – that’s not a promise that’s a fact – where is the curry person when we need her?

Fuquay Steve on September 27, 2012 at 9:51 AM

Lets be really clear here, 70-80% of this country, including conservatives and independents, dont have the slightest clue what this means.

Thats why Romney is getting no traction with this. You can run non-stop ads about this, and when people making 10 bucks an hour have no clue how this effects them, it will be lost on them when Obama goes on the air and says Romney wants to raise taxes for you to keep taxes low for millionaires and billionaires (these people dont get that they dont pay taxes, yet the rest of Obama’s policies are devastating them).

So, while these numbers are real and devastating to America, they have little impact on the race (and would be the case if the media talked about this, which they wont).

So, again, if Romney wants to win, dumb down the message, make it catchy, and appeal to the 70-80%.

milcus on September 27, 2012 at 9:52 AM

The only numbers mentioned on the local news in WI were the better than expected jobless claims. The casual voter knows nothing about GDP and could care less. That’s reality.

gumbyandpokey on September 27, 2012 at 9:45 AM

They see it and feel it every single day.

But hey, you be sure to run on “We only had 400k people apply for unemployment last month instead of 500k, and that equals success.”

Bishop on September 27, 2012 at 9:52 AM

rogerb on September 27, 2012 at 9:28 AM

LOL.

Good one. Thanks for the memories.

AZCoyote on September 27, 2012 at 9:55 AM

From Fox:

Campbell’s soup is closing two plants and laying off 700.

I blame Bush.

Laura in Maryland on September 27, 2012 at 9:56 AM

With economic numbers like this, the company I work for, which is a maufacturer, which has been on the brink for over a year now, is not likely to make it to 2013.

Anyone interested in a 40 year old IT guy with 20 years experience?

wildcat72 on September 27, 2012 at 9:57 AM

More than anything, Romney and the SuperPacs need to puncture this illusion that things are getting better. They are not, and today’s economic numbers are a huge confirmation.

matthew8787 on September 27, 2012 at 9:57 AM

Wow, that George W. Bush has been at it again . . .

TarheelBen on September 27, 2012 at 9:31 AM

Now that was funny!

What’s less funny is the many morons who actually believe that in some way. I’ve got relatives who’ve been out of work for years, people in their forties living with their parents, who will still vote for their special, special little boy Barack. You can’t fix stupid and there’s a whole lot of stupid out there.

Django on September 27, 2012 at 9:59 AM

They see it and feel it every single day.

But hey, you be sure to run on “We only had 400k people apply for unemployment last month instead of 500k, and that equals success.”

Bishop on September 27, 2012 at 9:52 AM

They feel it when they buy their grocery and fill up their cars with gas… No amount of lies and deceptions can convince them that things are good…

mnjg on September 27, 2012 at 9:59 AM

http://www.dailyjobcuts.com/

One month. Scroll all the way down to read the news about our economy in human terms…

mountainaires on September 27, 2012 at 10:00 AM

MSM headline: “Jobless claims at two month low.”

The fourth estate is going to cover-up the bad news until Nov.7.

tbrickert on September 27, 2012 at 10:00 AM

Now that was funny!

What’s less funny is the many morons who actually believe that in some way. I’ve got relatives who’ve been out of work for years, people in their forties living with their parents, who will still vote for their special, special little boy Barack. You can’t fix stupid and there’s a whole lot of stupid out there.

Django on September 27, 2012 at 9:59 AM

Because your relatives are parasites so they will vote for Obama…

mnjg on September 27, 2012 at 10:01 AM

Wow, that George W. Bush has been at it again . . .

TarheelBen on September 27, 2012 at 9:31 AM

Now that was funny!

What’s less funny is the many morons who actually believe that in some way. I’ve got relatives who’ve been out of work for years, people in their forties living with their parents, who will still vote for their special, special little boy Barack. You can’t fix stupid and there’s a whole lot of stupid out there.

Django on September 27, 2012 at 9:59 AM

The right to vote should be limited to those who work and pay taxes.

Anyone who doesn’t has no moral right whatsoever to have any part in deciding how much is taken from those who produce and how it’s spent.

wildcat72 on September 27, 2012 at 10:01 AM

The Low IQ Voters O’bamna needs to have a chance at re-election know nothing about anything except their next government check and could care less. That’s reality.

daveyandgoliath on September 27, 2012 at 9:45 AM

Reality Bites on occasion.

Del Dolemonte on September 27, 2012 at 10:04 AM

a major (non-US) manufacturer is also getting ready to lay off another 1200 people from its US workforce.

I could seriously write a blog just listing all the companies that I know are getting ready for more layoffs. I wonder if there would be any repercussions of that (for my own job heh)

CambellBrown on September 27, 2012 at 10:04 AM

OT: obama admits he wants to export more jobs

ConservativePartyNow on September 27, 2012 at 10:05 AM

Anyone interested in a 40 year old IT guy with 20 years experience?

wildcat72 on September 27, 2012 at 9:57 AM

Ugh we need IT, but we can’t hire. Plus they are getting ready to do a “headcount reduction” in IT and accounting. :(

CambellBrown on September 27, 2012 at 10:06 AM

But what about Romney’s GAAAFFFFEESSSS?!?!?!?! [/MSM]

Physics Geek on September 27, 2012 at 10:07 AM

Things will get worse if Obama has 4 more years…

“The owners of Hercules Industries — from left to right, James Newland, Paul Newland, William Newland, Andrew Newland — won an injunction in July to stop the Obama administration’s health care mandate that requires employers provide coverage for abortion-inducing drugs, sterilization and contraception — a requirement they say violates their Catholic beliefs. (Courtesy: ADFMedia.org)

The Obama Justice Department appealed a court ruling and will push forward in its quest to punish a Catholic family in Colorado for refusing to comply with its anti-Catholic HHS mandate.
LifeSiteNews reported:

A judge’s order will not stop the Obama administration from pressing forward in its quest to punish a Catholic family’s business for refusing to comply with the HHS mandate.

Hercules Industries, an HVAC business in Denver, won an injunction against the controversial provision requiring employers to cover contraceptives, sterilization, and abortion-inducing drugs in its health care plans on July 27.

On Tuesday, the Justice Department appealed the ruling to the Tenth Circuit Court of Appeals, also based in Denver.

“On the same day President Obama spoke of religious freedom at United Nations, his Justice Department acted to deny that freedom to small business owners,” said Maureen Ferguson and Ashley McGuire of The Catholic Association in a statement e-mailed to LifeSiteNews.com.

The Newland family sued HHS Secretary Kathleen Sebelius, saying the mandate violated their mutual Catholic faith.

“The cost of religious freedom for this family could be millions of dollars per year in fines that would cripple their business and potentially destroy jobs if the administration ultimately has its way,” said Matt Bowman, senior counsel at the Alliance Defending Freedom. “In filing its appeal today, the administration sent a clear message that it wants to force families to abandon their faith in order to earn a living. That’s the opposite of religious freedom…

The Obama administration has rhetorically shifted from supporting “freedom of religion” to “freedom of worship,” a change its detractors believe is designed to suppress religious opposition to growing secular regulation.

“Under the Obama Constitution, family business owners like the Newlands of Hercules Industries may practice their religion on Sundays, within the four walls of their church, but they have no right to practice that faith during the work week,” Ferguson and McGuire said…”

http://www.thegatewaypundit.com/2012/09/obama-justice-department-to-colorado-family-give-up-your-faith-or-y

workingclass artist on September 27, 2012 at 10:11 AM

I work for a large steel and bearing manufacturer in Ohio, and we are undergoing undergoing second round of layoffs effective Friday. We’re losing 55 people from my department alone. Apparently the order book for the fourth quarter has gone off the cliff.

hoff

And yet Obama leads in most of the polls in Ohio. What people se in this guy is beyond me….

SPGuy on September 27, 2012 at 10:12 AM

“They see it and feel it every single day.”

So if they see it and feel it, why is Obama pulling away in the election?

And why is Consumer Confidence skyrocketing?

gumbyandpokey on September 27, 2012 at 10:13 AM

…the private sector is doing fine and the media says everything is improving (again)…is there a problem here?

KOOLAID2 on September 27, 2012 at 10:14 AM

The casual voter knows nothing about GDP and could care less.
 
gumbyandpokey on September 27, 2012 at 9:45 AM

 
Read again for meaning. Well played.
 
Obama 2012!!/!

rogerb on September 27, 2012 at 10:14 AM

MSM check. Over at MSNLSD….headlines read….

* Jobless claims drop to lowest in 2 months

* Drought slowed economic growth in second quarter

Yep. Nothing to see here. Say all together…FOUR MORE YEARS…FOUR MORE YEARS!

SPGuy on September 27, 2012 at 10:15 AM

“They see it and feel it every single day.”

So if they see it and feel it, why is Obama pulling away in the election?

And why is Consumer Confidence skyrocketing?

gumbyandpokey on September 27, 2012 at 10:13 AM

…same meds or drugs you take?

KOOLAID2 on September 27, 2012 at 10:15 AM

Love it how libs bashed Bush for the economic conditions after 9/11 and near the end of his presidency. Now they say nothing with numbers never, ever seen in eight years under Bush. Ignorance is bliss!

SPGuy on September 27, 2012 at 10:18 AM

Because your relatives are parasites so they will vote for Obama…

mnjg on September 27, 2012 at 10:01 AM

Parasites, selfish morons, arrogant babies…all that and more.

Django on September 27, 2012 at 10:18 AM

So if they see it and feel it, why is Obama pulling away in the election?

And why is Consumer Confidence skyrocketing?

gumbyandpokey on September 27, 2012 at 10:13 AM

Yeah why is Barky pulling away, I mean he’s at what now, 80% approval and matching numbers in voter preference?

ROFL

Yeah, ok.

Bishop on September 27, 2012 at 10:19 AM

So. Real quick. How have Obama’s policies hurt manufacturing? Rather than, for example, the continued outsourcing of manufacturing to other countries? The Administration has acknowledged that a manufacturing based economy is unsustainable (as have most long term thinking economists). The problem is that there are a range of jobs that are unfilled that Americans do not have the education and training in. It may, in fact, be too late for people in their 40s or 50s who have been part of a particular economic model for a long time. But can they really blame either the GOP or the Democrats for that, its the inevitable consequences of a global marketplace. We can either pursue aggressive tariffs, making the American worker more competitive. We can hope corporations will seek a smaller profit margin. Or we can facilitate people’s transition into jobs that are available via education (assuming people are willing). I think part of the problem is that people aren’t willing to try and do new things. They feel entitled to retire doing the same work they did in their 20s. Hence resentment, hence looking for a scapegoat, hence the emotional engine of most of conservatism.

libfreeordie on September 27, 2012 at 10:20 AM

Here’s some new ammo for the fray… Yes, it is the Imperial Presidency.

The Royals of Britain: 58 mil in taxpayer support.

The Obozo’s (and their posse): 1.4 BILLION.

Run that factoid as a campaign ad in the high unemployment districts.

Party on, dudes.

(The ‘rats wanna play the ‘class envy’ card… throw the dumpster back at them.)

CPT. Charles on September 27, 2012 at 10:22 AM

Obama: “The future must not belong to those who slander the prophet of Islam.” who live in the United States.”

moo on September 27, 2012 at 10:24 AM

But don’t worry, the inexperienced, perpetually campaigning, community organizer, who felt like “a spy behind enemy lines” at his one private sector job, has done the best job that anybody could have done at fixing the economy during his first four years.

The MSM has already told us that this is what the American people believe. Obama is a lock, so why even report on this stuff?

ardenenoch on September 27, 2012 at 10:25 AM

And yet if you look at recent stories you will see that company hiring plans are tanking. Talk to the big infrastructure companies – Cat, Deere, GE – their schedules are falling – quickly.

People can believe what they want, that is true. But if you want a job, it is getting even tighter. And if Obama wins, major investment in the US will be on hold until he is gone.

Zomcon JEM on September 27, 2012 at 10:26 AM

The Administration has acknowledged that a manufacturing based economy is unsustainable (as have most long term thinking economists).

Really? Then why has Obama in his new 1-minute BS ad promise to create more than 1 million manufacturing jobs?

Because he’s bull-shitting?

sentinelrules on September 27, 2012 at 10:26 AM

libfreeordie on September 27, 2012 at 10:20 AM

The stupid.

It burns.

lorien1973 on September 27, 2012 at 10:27 AM

The ‘recovery’ is worse than the recession that SCoaMF was given to fix.

HellCat on September 27, 2012 at 10:27 AM

I think part of the problem is that people aren’t willing to try and do new things. They feel entitled to retire doing the same work they did in their 20s. Hence resentment, hence looking for a scapegoat, hence the emotional engine of most of conservatism.

libfreeordie on September 27, 2012 at 10:20 AM

O_o

Unlike the emotional engine of liberalism which advocates “spreading the wealth” so that the neurosurgeon should be forced to give up half his earnings so that the cowboy poet can afford to work on his “art”.

Bishop on September 27, 2012 at 10:28 AM

libfreeordie on September 27, 2012 at 10:20 AM

Um, I believe I posted that the international companies not based in the US are laying off their US workforce. American manufactures are laying off their European workforce. I am seeing both. And I’m talking about everyone that is really educated: engineers, accountants.

Everything is moving to China because those people can work for nothing.

One of our Chinese suppliers (of steel parts, surprise) is getting ready to be executed by his government because he’s been hiding profits from the communists.

So we are scrambling to find another (chinese) supplier.

I know it’s not just the US – the whole 1st world seems to be teetering on the brink of collapsing into 3rd world status.

CambellBrown on September 27, 2012 at 10:31 AM

I know it’s not just the US – the whole 1st world seems to be teetering on the brink of collapsing into 3rd world status.

CambellBrown on September 27, 2012 at 10:31 AM

Which begs the question. Is the problem Obama, or global capitalism? It worked for the West for many years, but now we’re being beat at our own game.

libfreeordie on September 27, 2012 at 10:34 AM

This article posted less than two hours ago and already it has 165 posts. Doesn’t anyone else, excluding me, work?

timberline on September 27, 2012 at 10:34 AM

Unlike the emotional engine of liberalism which advocates “spreading the wealth” so that the neurosurgeon should be forced to give up half his earnings so that the cowboy poet can afford to work on his “art”.

Bishop on September 27, 2012 at 10:28 AM

Your exaggeration is really unproductive, but I always find it interesting that the people who claim to be the strongest advocates for “Western civilization” often make statements which discount, belittle and minimize the importance of art, music and beauty to the creation of Western civilization. Its an essential part of the architecture of our culture and society, imagine. Truly imagine what the West would look like if every single person only pursued “productive” labor at the expense of the creative.

libfreeordie on September 27, 2012 at 10:36 AM

But, but, but the media told me everything was getting better and the recovery is on track…..

goflyers on September 27, 2012 at 10:36 AM

This isn’t good . . . .

“On the surface, at least, it would appear that Obama has a significant jump on the early balloting. At close of business Tuesday, 114,585 Democrats had requested absentee ballots from election officials; compared to 22,364 Republicans, according to the office of Secretary of State Matt Schultz. That’s a better than 5-to-1 margin.”

http://www.washingtonpost.com/blogs/election-2012/wp/2012/09/27/early-voting-begins-in-iowa/

gumbyandpokey on September 27, 2012 at 10:38 AM

But, but, but the media told me everything was getting better and the recovery is on track…..

goflyers on September 27, 2012 at 10:36 AM

The media was telling you the truth. But the media just didn’t tell you which track the recovery was on. I googled it and found that the recovery was on the backtrack.

timberline on September 27, 2012 at 10:39 AM

I think part of the problem is that people aren’t willing to try and do new things.

libfreeordie on September 27, 2012 at 10:20 AM

The problem is Liberal elitists brainwashing people into believing that if you don’t go to college and get a White collar job, you’re a loser.

In my parent’s generation, only rich kids and straight A students went to college. Everybody else had to scramble to cobble together some sort of career starting from the ground up at an entry level job right out of high school.

My Dad built a small furniture manufacturing business. He had a little factory and a showroom. He employed craftsmen, salesmen, and clerical workers. He made a local product and served a local community. His parents were Jewish immigrants who had around 10 children, of which only 6 survived, and only 4 made it into old age. His parents weren’t sitting around thinking about what colleges they were going to send their kids to.

The only people doing what my Dad did these days are immigrants from Asia and Latin America. 2nd, 3rd, and 4th generation Jewish Americans take for granted that they’ll go to college and get a job sitting at a cubicle shuffling papers for some big company.

Yes, there’s still a lot of small businesses out there, but the idea of graduating high school and immediately going to work, with the smarter, more ambitious ones eventually opening up their own small businesses is not something that is encouraged by our educational system.

A society of college graduates is a society that is geared much more towards Collectivism, not rugged individualism. The “if you don’t have a college degree, you’re a loser” mentality has been fostered by the Left, to undermine our small business based economy.

Now Obama is doing everything in his power to drive small businesses into the ground for good. Hopefully, all these hard working ambitious Chinese, Korean, Pakistani, and Hispanic small businesses owners will vote his butt out of office.

I know that the lady who owns my local laundromat, an immigrant from the Dominican Republic, can’t wait to go to polls and vote for Romney. She hates Obama’s guts as much as she loves the NY Yankees.

ardenenoch on September 27, 2012 at 10:40 AM

Really? Then why has Obama in his new 1-minute BS ad promise to create more than 1 million manufacturing jobs?

Because he’s bull-shitting?

sentinelrules on September 27, 2012 at 10:26 AM

Probably. He’s a politician after all. I also would question what he means by “manufacturing jobs.” I suspect he’s referring to infrastructure products. And look, here’s where the GOP really has no answers: If we are acknowledging that global capitalism makes the reductions in domestic manufacturing (which are on a bipartisan 40 year trend now) then what? In the 2000s a lot of the class of workers doing manufacturing work were supported by the housing bubble, but that was unsustainable. The only alternative is keynsian infrastructure spending, and lord does this nation need some upgrades. But the GOP is categorically against employing people on that kind of work, even though it benefits the white males who are the core of their base. So we can’t hope for another housing bubble, its not gonna happen. We can’t bring back manufacturing without “anti-trade” measures, and the GOP refuses to do government spending on infrastructure. So what? How do you solve this labor problem? I’m genuinely curious.

libfreeordie on September 27, 2012 at 10:40 AM

Ain’t Obamanomics WONDERFUL!”

GarandFan on September 27, 2012 at 10:40 AM

libfreeordie on September 27, 2012 at 10:34 AM

I like how you conveniently ignore the fact that a chinese steel maker is going to be murdered for daring to keep some of his earnings from his government. He should be happy to work like a dog, hand over his paycheck to the commies, and live in his little shack right???

And your takeaway on the whole thing is that “capitalism clearly sucks” LOL! (You can stop responding to my posts now)

anyone else here in engineering? Electrongod? yoo hoo — trying to find out from others if they are seeing the same trends. I see engineering jobs posted online but it looks like they are taking 300 resumes and not hiring?

CambellBrown on September 27, 2012 at 10:41 AM

Your exaggeration is really unproductive, but I always find it interesting that the people who claim to be the strongest advocates for “Western civilization” often make statements which discount, belittle and minimize the importance of art, music and beauty to the creation of Western civilization. Its an essential part of the architecture of our culture and society, imagine. Truly imagine what the West would look like if every single person only pursued “productive” labor at the expense of the creative.

libfreeordie on September 27, 2012 at 10:36 AM

Sigh….why FORCE the productive to subsidize this? Most people, especially rich Republicans, will give to the arts on their own.

goflyers on September 27, 2012 at 10:41 AM

***

How have Obama’s policies hurt manufacturing?

***

libfreeordie on September 27, 2012 at 10:20 AM

Obamacare, Dodd-Frank, energy policy, and too many other regulatory adventures. Employers–all employers–don’t know what will hit them next from an Obama administration.

They will stuff their depreciating cash in mattresses before exposing them to the ruination of the Obama-controlled economy.

This clown is a community organizer, first and last. All he knows about capitalism is how to show up at the workplace of those trying to engage in it and extort money from them.

BuckeyeSam on September 27, 2012 at 10:42 AM

libfreeordie on September 27, 2012 at 10:36 AM

Worthwhile art doesn’t need to exist on the state’s dime.

Discuss.

lorien1973 on September 27, 2012 at 10:43 AM

“Western civilization” often make statements which discount, belittle and minimize the importance of art, music and beauty to the creation of Western civilization. Its an essential part of the architecture of our culture and society, imagine. Truly imagine what the West would look like if every single person only pursued “productive” labor at the expense of the creative.

libfreeordie on September 27, 2012 at 10:36 AM

.
Kinda sucks then, since your commie President just outlawed anymore creative and artistic “Pissed Jesus” contributions to the architecture.

How boring. /

FlaMurph on September 27, 2012 at 10:43 AM

How have Obama’s policies hurt manufacturing?

***

libfreeordie on September 27, 2012 at 10:20 AM

.
Ask Boeing.

FlaMurph on September 27, 2012 at 10:44 AM

The problem is Liberal elitists brainwashing people into believing that if you don’t go to college and get a White collar job, you’re a loser.

This is one of the dumbest myths within American conservatism. Liberals invented the idea that a college degree was essential to upward mobility? Ha! Which is why the investment banks, the business schools and the Ivy Leagues are entirely made up of Democrats. No. The dream of upward mobility is bi-partisan, multi-racial, period, end of story. You know why you used the example of the Dominican immigrant who owns their own dry cleaning business? Because small time operations like that tend to be owned by first generation immigrants, by people willing to do incredibly difficult, back breaking labor to make it. But do you think those folks want their kids to inherit the business or go to college and do something different? I think we all know the answer to that question. Please do not blame liberals for people’s genuine and rational desire for upward mobility. Its just whining about the sky being blue and blaming it on liberals.

libfreeordie on September 27, 2012 at 10:44 AM

BuckeyeSam on September 27, 2012 at 10:42 AM

No; the real question is “What have Obama’s policies done to help manufacturing?”

But since, two sentences down, it admits it doesn’t want a “manufacturing based economy” (strawman, BTW); it already concedes the point.

lorien1973 on September 27, 2012 at 10:45 AM

I like how you conveniently ignore the fact that a chinese steel maker is going to be murdered for daring to keep some of his earnings from his government. He should be happy to work like a dog, hand over his paycheck to the commies, and live in his little shack right???

And your takeaway on the whole thing is that “capitalism clearly sucks” LOL! (You can stop responding to my posts now)

anyone else here in engineering? Electrongod? yoo hoo — trying to find out from others if they are seeing the same trends. I see engineering jobs posted online but it looks like they are taking 300 resumes and not hiring?

CambellBrown on September 27, 2012 at 10:41 AM

You misunderstand me. I didn’t say that the Chinese model was more *moral* than what we do in the West. I said they are beating us at out own game on the pure matter of production overhead. The means they use to achieve that are abhorrent. But if you have a problem with those means, then don’t you have to ask yourself if you’ve subsidized Chinese labor practices by buying products made there. Or if American companies have ignored those practices to do deals there. Again, your beef is with global capitalism *not* with any politician. All they do is steward globalism along.

libfreeordie on September 27, 2012 at 10:47 AM

libfreeordie on September 27, 2012 at 10:44 AM

If “dry cleaning business” is your idea of a back breaking business, you probably have a skewed vision of that term. But yes, most parents do want to pass their business onto their kids – if they want to take it up.

Also, pro tip: Not everyone can have a job that requires a college degree. Why do you think most college kids work as waiters these days? Cuz most jobs, you know, don’t need one.

The destruction of the middle income, dare I say, manufacturing jobs, is a real problem. But since we cannot have a “manufacturing based” economy (strawman, BTW), I guess it’s not an issue.

lorien1973 on September 27, 2012 at 10:48 AM

I said they are beating us at out own game on the pure matter of production overhead.

Curious. Why is production overhead so high? Magic?

lorien1973 on September 27, 2012 at 10:49 AM

Worthwhile art doesn’t need to exist on the state’s dime.

Discuss.

lorien1973 on September 27, 2012 at 10:43 AM

If you believe the only worthwhile art is what the market can produce, then please proceed to buy your Ke$ha, Lady Gaga, Jay-Z albums and attend screenings of Battleship. Cause that’s the art the market is giving us.

libfreeordie on September 27, 2012 at 10:49 AM

Cause that’s the art the market is giving us.

libfreeordie on September 27, 2012 at 10:49 AM

That, and things that aren’t those people. Lots of good art isn’t subsidized.

In fact, is the sh1t art that no one wants to look at that is.

lorien1973 on September 27, 2012 at 10:51 AM

The only alternative is keynsian infrastructure spending, and lord does this nation need some upgrades. But the GOP is categorically against employing people on that kind of work, even though it benefits the white males who are the core of their base. So we can’t hope for another housing bubble, its not gonna happen. We can’t bring back manufacturing without “anti-trade” measures, and the GOP refuses to do government spending on infrastructure. So what? How do you solve this labor problem? I’m genuinely curious.

I’m sure the GOP would be more willing to allow this type of work if the criteria were that the jobs be non-union. Why should Republican taxpayers supporter workers who are then forced to pay dues to a union which are then used to target Republican politicians.

Would the Democrats relent to that? Fat chance as they are largely supported by these spending in campaigns.

As for manufacturing employees creating the housing bubble, that’s so absurd considering manufacturing jobs have been on decline sinc e the 1970s, well before the most recent bubble.

sentinelrules on September 27, 2012 at 10:52 AM

libfreeordie on September 27, 2012 at 10:47 AM

Are you one of those global one-world government believers? That imagine if only we had one government to apply socialism correctly to the whole planet, that then all the wealth would “even itself out”?
I have a cousin who goes on and on about that. How those in the West need to be beaten down, give up our homes and yearly trips to the dentist, and then finally the people in Kenya will be lifted out of poverty.

Nevermind that he’s nestled in his little academic enclave, supported by government grants, with no real work experience. You gotta love it.

CambellBrown on September 27, 2012 at 10:53 AM

Also, pro tip: Not everyone can have a job that requires a college degree. Why do you think most college kids work as waiters these days? Cuz most jobs, you know, don’t need one.

The destruction of the middle income, dare I say, manufacturing jobs, is a real problem. But since we cannot have a “manufacturing based” economy (strawman, BTW), I guess it’s not an issue.

lorien1973 on September 27, 2012 at 10:48 AM

Again there *are* job openings out there in a range of fields, particularly IT service positions (I’m not sure why wildcat’s having such a tough time) my partner works as a business architect, and is in zero danger of losing his job. There is a doctor and nurse shortage, a severe nurse shortage. All kinds of work related to caring for the elderly. There’s teacher shortages in a number of school districts and, again, there’s severe needs for domestic infrastructure and development. But, wouldn’t you know it, a number of those openings are in sectors of the economy controlled by the state and the GOP is categorically against the state. And yet, the GOP has no actual ideas on how to encourage American manufacturers to stay here.

Curious. Why is production overhead so high? Magic?

lorien1973 on September 27, 2012 at 10:49 AM

Corporate tax rates and labor costs. Fine. Lower the corporate tax rate, you still have to compete with labor conditions overseas that Americans would never accept. You know, its funny. The GOP complains about the U.S. becoming a 3rd world, and then in the same breath envisions a world where we’re competing with the labor power of people who earn less than any of us would take to work at McDonalds.

libfreeordie on September 27, 2012 at 10:54 AM

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