Article #3

The article began with another "the world's economic situation is doomed and so are you" type of thing, which seems to be an ongoing theme in Stockman's articles until he gets to say "I told you so". Apparently after 20 years of global credit bingeing, capital spending, world trade, and deflation the US and world economies are on the brink of another recession. These past three articles have included the word "false" so many times it makes me feel very paranoid. Other economist and authors claim that the U.S and world economy is all good and keeps getting better. Although Debt has gone up GDP has gone up as well. But according to David Stockman the GDP growth is "phony growth" and when you look at the slope of of growth in debt and GDP, it cost a sh*tload of debt for a teeny bit of GDP growth. Stockman also included some talk on unemployment. The U.S economy almost reach it's "full potential" when it hit a 5.1% unemployment rate. Bernanke takes some credit for that but stockman claims that the Fed's ZIRP and QE policies "had absolutely nothing to do with the hiring of more home health care workers, nurses, and teachers aides".