Income Evaporating in America
As I have been saying, income in America is evaporating. Now the the banking system as a whole is losing money. The outlook is for even more losses. No income, no taxes being paid. We are facing something we have never seen in many many decades. Here is the proof:
``What you are seeing is more legitimate economic weakness in the income numbers,'' said James O'Sullivan, a senior economist at UBS Securities LLC in Stamford, Connecticut. ``The GDI numbers raise the potential that GDP is overstating growth.''
The 1.9 percentage-point difference between the GDI and GDP over the last 12 months is the biggest in the post World War II era.