US stocks end mix up

NEW YORK: Major stock indexes ended mixed Thursday on more evidence that the economy is regaining strength at a slow pace.
The Dow Jones industrial average rose for an eighth straight day, its longest unbroken climb since August. The Dow gained 46 points while broader indexes were little changed.

With the economy at a slow rise it is hard to say what can happen. One of the pluses that could occur are creating more jobs for Americas which would lead to a decrease in unemployment and in increase in consumer spending.

Consumer prices flat in February

U.S. consumer prices were unchanged on a seasonally adjusted basis in February, as falling energy prices offset increases in prices of cars, medical care and food. In the past year, the CPI has risen 2.1%. The core rate is up 1.3% in the past year, the smallest year-over-year increase in six years. If current trends continue, the core rate could drop below the Federal Reserve's target of 1% to 2% for the first time since 1963, economists said, fueling some worries about deflation.

• As less consumers are paying for producst. Many economists are worrying about deflation as current trends continues, which the core rate might drop below the Federal Reserve's target.

Health Reform: Where the money will come from

Democrats pushing for health care reform are closer to the finish line than ever, but it's not over yet. And the question of cost will remain a central issue in coming days.
On Thursday, the Congressional Budget Office weighed in with a key -- if still very preliminary -- cost estimate. The latest bill is a mix of provisions from a bill the Senate passed last December and proposals made by President Obama recently.

• Health Reform government spedning has gone too far. The latest proposal will cost $940 billion over 10 years, a cost that will be fully paid for according to budget estimates. Also many people has to pay 2.35% on their wages.

G-20 Summit: 6 Countries in Recovery

The U.S. economy appears to be stabilizing after declining for four straight quarters, but the recovery has been tepid so far.Financial markets have shown signs of improvement, and interbank lending has largely returned to normal. Consumer spending is still shrinking due to ongoing job losses and difficult credit conditions, but it has been stabilizing over the past quarters. Furthermore, home sales and new home construction are beginning to make a long-awaited comeback. The massive $787.2 billion stimulus bill is also expected to give GDP a boost in the current quarter."The recession is very likely over at this point," Federal Reserve Chairman Ben Bernanke said last week. But he also added, "It's still going to feel like a very weak economy for some time."

• The G-20's six largest economies took a big hit during the global recession in the past year and a half. Challenges remain but most appear on the path to recovery. Since 2008, US GDP has rapidly gone downward for straight 4 quaters, but after quarter 1 in 2009, after US quarter 2 economy has made rebound.

Opportunity Cost

Opportunity cost is one of the most important factor in our life that effects us the most. You could do something else while you are reading my blog now, reading other books, watching movie, or playing games. Opportunity gives us important lesson that you should do things that benefits you the most. Like the cartoon on the top, the dog's owner is telling his dog that he could be earning $ 175 dollars if he' not walking with dog. So you have to choose what benefits you the most.

Scarcity

This cartoon is explaining about the importance of scarcity. We are living in society that has scarcity, no matter how many goods you have and stuff that you are willing to buy. At the end, it will come to the end, we will be run out of resources and at certain point, resources will be gone. The cartoon shows man who needs to polar ice cap to save himself from drowning, but he can't find any because of scarcity, the can produce any polar ice cap and provide so space for you spot.

China Economic Power Unsettles Neighbors

Chinese economy had dominated markets economy all around the world. This cartoon is explaining about how Chinese economy is far outstripping US economy and worldwide as shown in cartoon how they described Chinese economy as a big and strong guy, but US economy as old and weak guy. As days continues, power of Asian market economy keep rising around the world including South Korea, Japan, and many other Asian countries.