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Kimberly Amadeo of the About.com Guide to U.S. Economy argues the economy isn't as bad as it was in 2008.
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To your money shall we joining the company is Kimberly alma -- from about dot com's guide to the economy Tivoli.
Banks downgraded you know last does that they're all very weak obviously.
Does this have the feel of 2008.
To you.
Well actually it doesn't Stewart and I'm delighted to be here by the way I'd love your show thank you you can come -- -- because if you say that -- You can come back up and I think they've downgraded about six years too late.
-- The banks really were in a lot worse shape than and they are now only we didn't know it OK so be it it's not that bad is it -- mean that is that what you're saying is not 2008 to all over again enemies is -- downgraded looking -- and flabby all the rest of it but it's not that bad -- It's not as bad as 2008 you know we really were almost on -- precipice.
Of a real disaster then you know right now growth is slow.
And it's certainly slower than we would like.
But it's not as bad as 2000 OK let me ask you about the overall economy to -- the banks for a second look at -- you just said the the economy's slow.
Now to me it's slowing down it's getting weak by the -- Does that mean the -- headed to recession or at least a dead flat zero growth -- -- is that well ahead.
I really CS hovering between 12%.
Here firm you know at least another a year.
Part of the reason is because of all the uncertainty and you mentioned on your show the other day there's a lot of political and non financial situations that are affecting the economy.
Underneath the economy is that risks growing slowly wish -- -- growing a lot faster but it still growing and that's much different than a wise.
In 2008 okay.
-- point well taken.
But what if you rights and if we just keep bumbling along which we -- -- 2% -- that is a very political lot of miserable growth rates.
It reminds me of all full loss of Europe.
Over the past ten -- fifteen years most countries in Europe.
Just got back kind of bumbling along the -- kind of -- right.
Nobody's going to be happy -- on the growth rate and it's not gonna bring down.
Out -- employment right very quickly and it's not gonna allow us to get out about debt trap very easily.
-- put it to you your outlining a -- some growth.
But is a rather negative picture -- that.
Well there are some nuggets of good news within this picture.
I looked at the retail sales report that came out in May and that was the third highest that we've ever had in history -- even better than in December 2007.
And one of the things that we're seeing is that the consumer.
Is willing to spend money.
But they will only spend money on things that are value -- -- they shift to thrift.
One of the things that we saw -- that report is that.
Online sales were up one point 3% vs last month and that was 12% better than last year.
And that's because online sales do provide real value in keeping -- -- to -- things at a better price.
That's -- -- point I'd just I just -- close with this at the top of the show on said that our economy was entering what I -- called the danger zone.
You would not agree with that would you.
I think we could very easily and to the danger zone and you set -- on your show the other day.
Our economy is driven by confidence and we don't have that confidence right now decisions being made are not being made in Brussels and in Washington.
Are affecting our financial situation.
Businesses have money but they're afraid disband and -- certainly afraid to hire Tivoli -- you can come back and see us anytime you like thank you completely I would love to.
