How 3 “Convenient” Numbers
Could Give Pres. Obama the Election
In September, the government reported the unemployment rate dropped to the lowest level of Barack Obama’s presidency – 7.8%.
EVG Research Team here, and it looks like “politics as usual” to us.
This number seems to be one in a long line of rosy statistics and lucky bits of news showing up right before a Presidential election.
And with more than 10 million people out of work, millions more forced to take part-time jobs, and a record 46 million people on food stamps… reality doesn’t seem to match the government statistics.
3 “Warm and Fuzzy” Economic Reports
Politicians are notorious for using short-term tricks to boost their chances of reelection. And while it’s impossible to know if these numbers have been fixed, it doesn’t improve our trust in government.
Here are 3 new statistics a President would love to see weeks before election day…
Unemployment Rate at Lowest Point of Obama’s Presidency – When President Obama took office, the unemployment rate was at 7.8% and getting ready to soar into double digits.
It’s been inching downwards for years, but it took a large drop a month before the election – moving from 8.1% to 7.8%. That matches the lowest unemployment rate of Obama’s presidency. And it happened in a month when the economy had below-average job growth, compared to the last 2 years.
This number is very “convenient” when there are 3 million less people working today than when Obama took office.
GDP Grew at 2% in the 3rd Quarter, Thanks to Government Spending – To be clear, this isn’t a high number. A 2% GDP growth rate is modest, and the average rate was higher over the last two years: 2.2%.
But it turns out if it wasn’t for a sudden increase in defense spending at the Pentagon, GDP growth would have been a discouraging 1.36%.
Another “convenient” number, when government spending can increase GDP growth by nearly 50%.
Gas Prices Dropping Drastically in Swing States – Gas prices usually drop at this time of year. And 2012 is no different – the national average recently dropped 12 cents in a week to $3.76/gallon. That’s the biggest week-to-week drop since… the last presidential election in 2008.
But this time, the biggest drops are in swing states. Wisconsin saw a 21 cent drop, while Iowa saw 16.
And then there’s Ohio – the state where it’s rumored results from just two of its counties may end up deciding the entire election. So it’d be a large coincidence if Ohio saw the largest drop in gas prices nationally.
Well… then call it a large coincidence. Because Ohio just saw the biggest drop in the nation at 24 cents per gallon less in a single week.
And we’re not the only ones who’ve noticed. Here’s a recent “Letter to the Editor” found in an Erie, Pennsylvania newspaper:
“I recently drove to western Ohio and filled my gas tank for $3.49. That's 40 cents a gallon cheaper than in Erie. This was out in cow country where the gas had to be hauled hundreds of miles to get there. Tell me again how we set the price of gas here?”
Reprinted from GoErie.com
The President needs all these positive numbers and more, because…
This Presidential Race is a Dead Heat
A month ago, few people thought Romney could win. But a month is a long time in politics.
Now many are wondering if President Obama can still pull it off.
Romney has hit the magic 50% number in several national polls, a number Obama has struggled to meet. And since undecideds tend to turn against the incumbent, Romney may solidly win the popular vote, the electoral vote and thus the Presidency.
At The Elevation Group, we are paying attention to the race. But whatever happens, our wealth strategy will remain the same.
Neither Romney nor Obama can magically make $16 trillion in debt disappear, or keep the $1.5 trillion sitting at the Federal Reserve from entering the economy and causing mass inflation.
The consequences of this debt and money-printing are unavoidable. And that’s why we’ve come up with a plan to survive and thrive during the economic crash. We hope you have as well.
Your Partner in Prosperity
The EVG Research Team