Kansas City Confronts Global Recession: Local Leaders Ready?!?

Hard times have just begun and many economists predict that Americans and the world are about to endure the recession that we've been putting off since about 1971.

Let's put this in perspective . . .

There are a few economists who believe that the upcoming "recession" is really an impending economic collapse that threatens to create a "shift" so significant that capitalism as we know it might not survive intact. 

To be fair . . .

Despite the bloviating of people who don't really understand macroeconomics but are eager to share insights about "socialism" that funds the streets they drive on . . . Most corporations receive far more government largess than any  so-called "welfare queen" of a trailer park or housing project that Ronald Regan attempted to roast. Truth be told . . . That kinda talk was always a bit rough for a guy who spent many years working alongside a chimp. 

But I digress . . .

Here's the main point that's worth repeating . . .

ECONOMIC HARSH TIMES ARE GOING TO GET WORSE BUT KANSAS CITY POLITICOS SEEM TO RESIST CHANGING THEIR TAX & SPEND MENTALITY!!!

Think about recent news . . .

KC is ready to borrow 2 BILLION for  downtown stadium district, Jackson County keeps raising taxes and one pet project after the next is promised by politicos who are more interested in kickbacks than city finances.

Accordingly . . .

And because most of the better financial news coverage in Kansas City is hidden behind paywalls . . .

We share more than a bit of insight on impending economic doom . . .

The Conference Board's leading indicator, which he calls a "highly accurate forecasting tool" based on 10 key data points—including interest rate spreads, consumer expectations, manufacturing, stock prices, and building permits for new homes.

The Conference Board now forecasts 2022 gross domestic product (GDP) growth will come in at 1.8% and 2023 GDP will slow to zero.

Second, is the money supply, or M2, a measure that Nobel Prize winner Milton Friedman championed. M2 has ballooned under President Biden's "massive increase in federal spending that led to an equally massive money printing by the Federal Reserve," Larry Kudlow, former National Economic Council director under the Trump administration says.

"That was the single-biggest mistake by Joe Biden," he maintains. "It moved the inflation rate up from about 1% to nearly 10%. Because of that, real wages have fallen 18 consecutive months."

Here's an even more apt analysis . . .

Economist Mohamed El-Erian said that analysts need to shift away from the mindset that the downturn will be a short, sharp recession – a way of thinking he warned had driven the Fed's characterization of inflation as merely "transitory" even as prices crept up last year.

"From the US Federal Reserve's initial misjudgment that inflation would be 'transitory' to the current consensus that a probable US recession will be 'short and shallow,' there has been a strong tendency to see economic challenges as both temporary and quickly reversible," he said.

But "these changes will affect individuals, companies, and governments – economically, socially, and politically," El-Erian added. "Until analysts wake up to the probability that these trends will outlast the next business cycle, the economic hardship they cause is likely to significantly outweigh the opportunities they create."

Read more via www.TonysKansasCity.com links . . .

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Will the strong dollar trigger a global recession?

In recent months, a fearful narrative has taken hold in international financial circles: Rising U.S. interest rates are boosting the dollar, forcing cheaper currencies and higher import costs onto economies already struggling with skyrocketing energy and food prices. To keep the lid on soaring inflation, foreign central banks must further tighten their own monetary policies, pushing the world into global recession.


"White Collar Recession" 2023 - Why The Highest Earners May Fall Fastest

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