Is the US Economy Getting Stronger Or Weaker?... By Dr Anil Khare (www.anilkhare.com)

Is the US Economy Getting Stronger Or Weaker?

The current economic situation in the United States is definitely not a good one. The unemployment rate continues to be above eight percent, and consumer confidence is at an all time low. With all of this in mind, it would seem that the U.S. economy is getting stronger or weaker.

The answer to this question is a combination of everything that can possibly be known or suspected. On one hand, there is the possibility that the U.S. economy is indeed getting stronger. The unemployment rate is low, the interest rates are reasonable, and our economic outlook is positive. On the other hand, there is also the possibility that things are going bad in the country's overall economy. This is why we need to address the issue of whether or not the current economic crisis is temporary or something that will last a very long time. In other words, is our economic system heading towards a recession?

If the answer is yes, then the question we should ask ourselves is "Is the U.S. economy getting stronger or weaker?" It is certainly looking stronger, but is it enough? Will the consumer rebound and start to save more money so that he or she can have some security in life again? Will consumers buy more products so that they can have more income and have the ability to purchase things that they need and want?

Unfortunately, most consumers cannot see any hope of an improved economy because currently the economy is just too far behind where it needs to be. What consumers need to do is have some more disposable income. They need to save money for emergencies. They need to get rid of the need to borrow money and spend on useless things that do not add anything positive to the economy.

When consumers have increased spending and confidence in the economy, it will be able to grow. It is going to need support from the government. There will have to be some tax cuts and some other incentives for consumers to increase savings. The government needs to support the banks by insuring interest rates are lowered to encourage more consumers to get out there and invest.

Is the U.S. economy getting stronger or weaker because consumers are losing confidence? Right now, many consumers cannot afford to save for emergencies. This has resulted in spending on entertainment items, which are not essential. More people are living paycheck to paycheck and it seems like no matter what they do or how much money they make, they can not improve their situation. In addition, many consumers cannot get ahead because of a lack of job opportunities and income. This has resulted in financial insecurity for many families and this is a major concern as the U.S. economy gets weaker.

One way to strengthen the economy is to improve the banks and consumer confidence. In fact, this is one of the reasons that I believe that the Federal Reserve will raise interest rates soon. With consumer confidence strengthening and the banks gaining confidence, lending rates should begin to increase. This should help the banks earn more profits and the lenders will then have some extra money to lend out.

Is the U.S. economy getting stronger or weaker? Overall, I feel that we are still on the upswing. Consumer confidence is back on track, the banks are starting to lend again, and unemployment is down. I see a strong economy continuing in the future.

So, is the U.S. economy getting stronger or weaker? The answer is yes and no. Yes, consumer confidence is back on track and lending rates are slowly increasing. No, the recession is still on and we are not seeing signs of consumer confidence improving anytime soon.

It is important to remember that any recession needs to be dealt with to get the job market moving again. If consumer confidence continues to be low, then it will take more government action to help keep the job market moving. However, if job seekers are losing their homes, the weak economy will make it tough for people to find new employment. This should keep the unemployed from becoming unemployed and allow for job growth to continue.

If you are concerned about the strength of the American economy, then the best thing to do is pay attention to what is happening in the stock market. The stronger stock market will help support an increasing economy, while a weaker economy will weigh on potential job seekers. This is the most important indicator of an improving economy. With a little patience and knowledge of what to watch for, it is possible to see the indications of strength or weakness in an economy before it manifests itself in real time.