Economy Growing at Fastest Pace of '11 in US Quarter Forecasts
01.01.70
Nov. 18 (Bloomberg) -- The U.S. economy may end 2011 growing at its fastest clip in 18 months as analysts increase their forecasts for the fourth quarter just a few months after a slowdown raised concern among investors.
Economists at JPMorgan Chase & Co. in New York now see gross domestic product rising 3 percent in the final quarter, up from a previous prediction of 2.5 percent. Macroeconomic Advisers in St. Louis increased its forecast to 3.2 percent from 2.9 percent at the start of November, while New York-based Morgan Stanley & Co. boosted its outlook to 3.5 percent from 3 percent.
“The incoming data on consumption, business spending and residential investment all point to GDP growth in the fourth quarter tracking 3.3 percent,” said John Herrmann, senior fixed-income strategist at State Street Global Markets in Boston.
Herrmann, who is the second most-accurate forecaster of GDP based on Bloomberg data, had been looking for fourth quarter growth of 2.4 percent at the start of this month. The economy expanded at an annualized pace of 2.5 percent in the third quarter.
Source: BusinessWeek
Saving us from super suffering
01.01.70
Workplace Savings New Zealand head Bruce Kerr calls the day all workers join KiwiSaver "miracle day".
Not because it will be a miracle if the exercise goes smoothly.
It's a wry reference to the television series Torchwood: Miracle Day, a Doctor Who spin-off in which the population soars and problems abound because no-one can die.
Evidence this election is that New Zealanders remain as mortal as ever, apart from a few seemingly indestructible politicians.
But, as a bubble of increasingly long-lived and active baby boomers turn 65, mass KiwiSaver registration could be seen as a miracle cure for poverty in old age, says Kerr.
His not-for-profit organisation represents the savings industry and Kerr doesn't think workers should necessarily be made to join – 1.8 million people have joined voluntarily anyway. But a push, or a nudge, is coming.
If National wins this election, all workers will be registered and given the choice to opt out. At present workers are enrolled when they change jobs. Labour would make joining and paying 2 per cent of wages compulsory, and gradually raise employers' contributions from 2 to 7 per cent.
Source: Stuff.co.nz