CHART OF THE WEEK

 

 

When the recovery began in June 2009, gross domestic product (GDP) was approximately $46,900 per person. If the current recovery had kept pace with the average post-1960 recovery, each American’s share of GDP would be $57,300 instead of the current $51,600, meaning that the economy is $5,700 smaller per person.

 

LAST WEEK

News & Commentary Weekly Highlights

• Wall Street Journal: European Elections Test ECB President Mario Draghi (Thursday)
• Bloomberg: Stocks Are No Longer the Most Actively Traded Securities in Stock Markets (Thursday)
• Economics21: Message to Congress: Sharpen the Fed’s Mandate (Wednesday)
• RealClear Markets: The Right Shouldn't Associate Itself With 'National' Strategies (Tuesday)
• Barron’s: December Brings Huge Spike in Small Business Optimism (Tuesday)

 

Top Economic Indicator Highlights

• Atlanta Fed Business Inflation Expectations Survey
  • This survey measures how much businesses expect prices to rise over the next year.
  • January: 2.0%, December: 2.1%, November: 2.0%
  • Noteworthy: Since this survey began in October 2011, this is the first time business inflation expectations reached or exceeded 2% for three consecutive months. Previously, inflation expectations were consistently below 2%. Although the Fed does not use this specific survey to determine whether its objective of 2% average inflation is being met, these results may signal that inflation trends will encourage the Fed to increase interest rates to more “normal” levels.

 

JEC Releases

• Tiberi: Repealing Obamacare Critical for Well-Being of Americans, Economy (Friday)
• Tiberi Welcomes Portman, Comstock, Rooney, and LaHood to Joint Economic Committee (Friday)
• Obamacare’s Drain on Patients, Employers, and the Economy (Tuesday)
• Labor Review: Context for the December Labor Report (Monday)

 

THIS WEEK

Upcoming Economic Data and Events

• Monday
• Tuesday
  • Business Leaders Survey (8:30am)
• Wednesday
  • Consumer Price Index (8:30am)
  • New Residential Construction (8:30am)
  • Real Earnings (8:30am)
• Thursday
  • Jobless Claims (8:30am)
  • Philly Fed Manufacturing Survey (8:30am)
• Friday
  • Chicago Fed National Activity Index (8:30am)
  • Composite Indexes (10:00am)
  • Existing Home Sales (10:00am)