More Economic Predictions

Here again are my previous predictions of how the U.S. economy will look on December 31, 2010:

• Unemployment reaching 11% to 12% by the end of this year and staying put for 2010 (not really growing or contracting)
• Inflation at 8%, which will start ramping up during early and mid 2010
• Mortgage interest rates at 7% to 8% with Long Term T-Bonds up at the 8% level also starting to ramp up in early to mid 2010.

Thought I'd add a few more:

• Gallon of gas will be at $3.50 in Missouri, where I live, already at about $2.05 and it will ebb and flow but the long term price will be higher
• Dow Jones IA will be between 8000 and 8500. This is about where we are now.

I am really not sure if in the November 2010 election Republicans will make huge gains in Congress. Normally, with a president and congress pursuing ideas this destructive the party would be punished. But Obama's a rock star. I admit to not getting it. I truly don't know why over 60% of Americans approve of the job he's doing. I get that he's "not Bush". I get that you've got to give time. And I get that we all want to see America recover and prosper. But these policies are so destructive towards that last aim that I don't know what else to say. I do have a good idea of how economy's work so I'm more confident predicting that. If pressed to the wall, I'd say a GOP landslide with 30 to 40 seats gained in the mid-term election.