The RO Show, Released on 8/27/23

On today’s show I speak with the amazing Danielle DiMartino Booth about the REAL state of the economy and what is really going on. We talk about leading indicators and focus on several key areas: DEBT, ERC, Labor, Manufacturing, Housing, Higher For Longer, Inflation, and Recession. What’s next for the economy and markets?

00:00:00 – Decreasing Capital Expenditure Investment Strategies
00:01:35 – Unsustainable Debt and Fitch Downgrade
00:03:24 – Reforming Government Spending
00:05:01 – Inflation and the Demand for Energy
00:06:38 – The ERC: A Hidden Source of Cash
00:08:18 – The Increase in Payouts and Fraudulent Schemes
00:10:01 – Fraudulent claims in the IRS
00:11:32 – Financial Challenges for Small Businesses
00:13:04 – Impact of Rising Bond Yields on Borrowing Costs and Monetary Policy
00:14:42 – Impact of Slowing Travel and Discretionary Spending on Investment Properties
00:16:08 – Home builders and investors hoping for zero interest rate policy
00:17:40 – The Impact on Manufacturing and Job Market
00:19:11 – The Impact of Cyclical Economy on Employment
00:20:53 – The Slow Grind of Economic Output
00:22:30 – Concerns about Declining Productivity and Cost Cutting
00:24:08 – Industrial Contraction and Entitlement
00:25:40 – The Hidden Recession and Industrial Mirage
00:27:14 – The Concerns of Inflation and Rising Gas Prices
00:28:49 – The Fed’s Decision Making and Dissent
00:30:29 – Balancing Monetary Policy and Liquidity Issues
00:32:11 – The Impact of Fed’s Balance Sheet Reduction on Borrowing Costs
00:33:48 – The Choices and Consequences of the FED’s Actions during the Great Financial Crisis
00:35:28 – Uncertainty and fear in the business world
00:37:05 – The Risk of Unemployment and Recession
00:38:42 – The Longest Economic Cycle in U.S. History
00:40:28 – The Current State of the US Economy

Danielle DiMartino Booth is Founder & CEO of QI Research, a research and analytics firm. She spent nine years as an advisor to Richard W. Fisher at the Federal Reserve Bank of Dallas. Danielle left the Fed in 2015 to found Money Strong, LLC, an economic consulting firm and launched a weekly economic newsletter She is the author of Fed Up: An Insider’s Take on Why the Federal Reserve is Bad for America. DiMartino Booth began her career in New York at Donaldson, Lufkin & Jenrette and Credit Suisse, where she worked fixed income and the public and private equity markets. Danielle earned her BBA as a College of Business Scholar at the University of Texas at San Antonio. She holds an MBA in Finance and International Business from the University of Texas at Austin and an MS in Journalism from Columbia University.

  economy, Fed, inflation, recession