High Automotive Demand

CARS! CARS! CARS!

By Lossie Hudspeth

This seems like the year for auto sales according to Auto Nation's recent spike in demand for both new and used cars. My prediction on this phenomenon is that with the low employment rate people feel that buying these cars will be important to getting and maintaining a new job. This decision while for the most part is very true to getting a job, does not make financial sense to those who are unemployed. However, another theory is that the people buying the cars are the upper-middle class and the upper class. New vehicle sales increased 8.4% to $2.97 billion as opposed to used-car sales that rose 12.4% but only to $1.2 billion, still those are pretty good statistics. What this tells me is that America is prospering from the current economy and that if they made a loan on these cars that they hope to pay them back soon, because even though the economy seems like it is doing nice now, it may turn around in the next year or so.

The link to this article wasn't found online. The source is The New York Times.

Where That Growth At?

NO Significant Growth

When you are talking about the U.S economy, you notice that there isn't a lot going on in terms of economic success. Our economy has stayed within the same percentile for almost a decade! The Recession that occurred back in 2005 took it's toll on the nation and America is slowly creeping up from it. While home prices were generally low, they have begun to climb again and at a safe and productive rate. Economist have tried to come up with an explanation for the low GDP and they have been saying that it has simply been a less efficient economy. With low productivity and output this could lead to an inflation of the dollar later in the year.

The link to the article can be found here.

4-Month High for the Dollar

High Balling with no Jobs

By Lossie Hudspeth

This article gave me a lot of hope and some doubt in terms of where our economy is heading in the upcoming months. The dollar has remained at a high point for 4 consecutive months now and that is due to the amount of people filing for unemployment benefits. The fact that low employment rate equates a higher dollar makes me rather nervous. What does this mean for those who are benefiting from the cost of the dollar as to those who are still seeking employment trying to gain the dollar. The hope for our economy comes from the value of our dollar. With the dollar valuing more than in the past few years, this brings me to believe that our economy is looking up. How much we are able to get by with the dollar and so on. The doubt for me factors in with the unemployed workers of the nation. What does unemployment do for America? Of course every time we have an all time high of employment it is during wars or natural disasters and that is almost always followed by a depreciation of the dollar or some recession.

The link to this article can be found here.