PeakTrader.com

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PeakTrader:

U.S. real growth was 2.5% in 2010, 1.8% in 2011, and 2.8% in 2012. The Conference Board (on Aug 14th) estimates 1.5% real growth in 2013 and 2.8% real growth in 2014

U.S. per capita real GDP is $6,000 a year below potential output, and 2.8% real growth isn't enough to begin closing the output gap.

Weak U.S. demand, in this deep depression, reduced U.S. trade deficits from $800 billion a year to $500 billion a year.

U.S. consumers lost $300 billion a year, in the global economy, and U.S. GDP added 2% a year from the smaller trade deficits.

Smaller U.S. trade deficits coincide with the U.S. manufacturing renaissance.

The Fed promoted growth by lowering interest rates, for households and firms (including mortgage rates and cost of capital), and created a Wealth Effect in asset markets.

Unfortunately, growth wasn't strong enough to generate a self-sustaining cycle of consumption-employment.

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