Retail sales probably climbed in November for a fifth consecutive month as Americans began their holiday shopping, showing consumers are playing a bigger role in the U.S. recovery, economists said before a report this week.
The story is here. As D.H. Robertson insisted, there is the money-goods margin and not just the money-bonds margin (Richard Ebeling taught me that point). On the money-goods margin we seem to be experiencing an ongoing rise in aggregate demand. Is the claim that retail spending went up this much, for months, but could not possibly have gone up any higher? If so, I do not believe that claim.
Are we out of the liquidity trap yet?