Prognosis: Still Screwed
A cautious optimism seems to have crept into media economic coverage of late. The financial sector is in better shape than anticipated, their troubles seemingly nothing a few more hundred billion in taxpayer dollars won't be able to handle, stocks are once again on the uptick, and all is apparently once again right with the world-- if you own stocks or are a banker.
It's always instructive when one is watching cable news to keep track of the commercials, what they're selling and to whom. Based on that evidence, the main demographic for the news is, as it has been for years, folks who can afford Caddilacs and cruises, and for whom business and leisure travel is a great concern. That is, bankers and folks who own stock.
For the rest of us, the picture is a bit more mixed to say the least, but still presented with a smile and a shoeshine. The slowing of the pace of layoffs-- a mere 539,000 in the month of April, 60,000 fewer than anticipated-- has been cited as more good news, though not by the 539,000 who lost their jobs or those who fear they may be among the 3.5 million plus who will lose theirs if this keeps up, or by the millions more who are underemployed or have been unemployed for so long they have fallen off the edge of the statistics, or by their families. None of whom are likely to give a rat's ass about new cars, fun filled vacations, or the first class luxuries available to harried executives on Korean Air flights and at Doubletree Inns.
Meanwhile, look for the price of oil, and thus gasoline, to continue its slow and steady march into the upper 60s per barrel and beyond, for retail prices to follow oil's uptick, for defaulted credit card debt to become the new defaulted mortgage debt, and for wages to fall noticably for those who are employed. Some of which may actually make it on to the news, sandwiched between the travel tips and lifestyle features.