Economy not all that sunny

At least there's the economy. That's what Republicans are saying as their poll numbers tank over deficits, corruption and the hard slogging in Iraq. America saw strong economic growth in the third quarter, they sing, and a good jobs number for November.

All true, but all temporary. And, by the way, the tax cuts had little to do with it.

President Bush was recently in North Carolina, urging factory workers to give thanks for the tax cuts. In folksy mode, Bush criticized "some of those people up in Washington" who doubted that the tax cuts would make the economy golden.

It happens that some of those folks up on Wall Street are also doubters. They think the economy is about to turn really crummy. And though they are genuinely grateful for the tax cuts on a personal level — after all, they're rich — on an economic level, they see them as a problem. Lower tax revenues and a spending spree have set off an explosion of federal borrowing, which pushes up interest rates.

And this brings us to the housing bubble. Rising house prices, fed by low interest rates, have helped keep this economy going. That party's closing down.

.....

Some Republicans are nonetheless advising Bush to talk more about the recent sunny numbers for growth and jobs. He had better work fast. Winter is coming on.

http://seattletimes.nwsource.com/html/opinion/2002684248_harrop15.html

rising health care costs harming American competitiveness. Oh yeah, I'd say the economy pretty well sux.

recession or worse.

After this winter, few will have money to spend after paying for the natural gas bill.

Even some of the real players are beginning to see the light of what's coming down the pike in the near future.

http://www.fortune.com/fortune/investing/articles/0,15114,1139979-2,00.html