Do you think these two things might be related?

Fact one: Home prices are up nationwide. By how much depends on which index you like to use.

Fact two: The number of available existing homes listed is down. Not down a little bit, but down about 17% in 146 metro areas (I think that qualifies as “nationwide”) and down over 25% in a couple dozen places.

Looks like the law of supply and demand is still in play. Keep this in mind if you think this is a great time to buy.

In Closing: Harvard points out the obvious; about a quarter of Americans have more credit card debt than money in the bank — not total debt, just credit card debt; the truth about low capital gains taxes; signs of autism can be found at birth (that’s long before anybody can get vaccinated, for those keeping score); strategy; and surely I am not the only person who thinks the timing here is odd. Do you really believe that the Pope mulled his decision to resign for health reasons for quite a while before suddenly making an announcement, then realizing too late that it’s the middle of Lent and somebody has to do his job?

Things really are tough all over

Maybe you saw the report showing that the net worth of the average American family is down almost 40%. It’s down to the levels we had during the Original Bush Administration (oh, and Happy 88th Birthday to him).

Now, of course that’s partly because home prices are down to where they were a decade ago. But it’s also because unemployment is still over 8%. And even for those who are employed, last year inflation adjusted income is roughly what it was in 1968. And we’ve still got discouraged workers and the underemployed.

The nicest thing I can say is that at least household debt is going down. Of course, it’s going down for the bad reasons —  like ditching the house that will never be worth what it sold for 5 years ago.

It is still the economy, “stupid.”

In Closing: how is this different than the Bush Administration, exactly?; has anything really changed about the Vatican since Alexander VI?; at least violent crime is down; the impossible dream; now I have really no reason to watch mainstream news unless it’s local; the disappearing phone booth; and illiteracy.

Good News on the Economy

Seriously, I’m coming up on 9 years of writing here, and this is the first time I’ve been able to write those words without meaning it sarcastically.

First, unemployment is down to 8.1% (locally, down to 12.4%). That’s still too high, and it still doesn’t account for people who have given up on finding a job and people who have settled for part time work. And the economy still isn’t quite up to making enough jobs for people new to the workforce, and new grads are still going to have a crappy time out there. However, not that long ago we were looking at almost 10%.

Second, there are signs of life in American manufacturing. Auto plants are working at capacity, and may have to actually hire an additional shift of workers — which is much less expensive than building a new plant and then having it sit idle 16 hours a day. Some industries that decided it was cheaper to make it overseas and ship it here are thinking twice. Senior executives are cautiously optimistic, and 40% report moving operations to the United States.

Finally, home prices are starting to inch up. Granted, this is at least in part because of reduced supply (and at least in part because prices got stupid-low on a per-square-foot basis in some places).

So there you have it. People are getting jobs and buying stuff. Some manufacturers are running out of the ability to make more stuff — so they may have to build places and hire people to make even more stuff. Maybe soon the Fed can raise interest rates from the supposedly “stimulating” levels they are today, and in turn banks will be able to make a reasonable profit lending money without making up fees or outright committing fraud.

In Closing: Who could have guessed that Citizens United could open the door to ordinary people taking over elections?; never forget Romney’s dog; Tokyo Sky Tree now open; too useful to be real; cheap and free ebooks; yet one more reason I’m against school vouchers; FISA; $27,000??; and the Vatican gets outraged when nuns actually act on What Would Jesus Do.