If the US govt was not running a deficit equal to 10% of GDP then they too would be in recession (if not a depression).
If Australia was not running a govt deficit equal to 10% of GDP we would be in a recession - despite the supposedly current good times. NBN = Australian pyramid building enterprise designed to keep the peasants quiet (pity about the trashing of our economy in the process).
I know that UK budget is significantly in deficit and I think they are still in recession. Much worse to come there once they run down their oil deposits in the north Sea (happening soonish).
Rest of Europe - most if not all countries are running significant deficits and therefore would be in recession (actually Spain is in a Depression already, as is Ireland)
Japan running continuous large govt deficits for 20 years and govt debt out of control - would be in a recession.
China has massive money printing exercise - would be in a recession without it. I have no idea if their govt is running a deficit, most likely local govts are in deficit to stimulate all that construction.
Besides that, all is good.
Now where is Benny? QE3 is what the market really wants. After which comes QE4 to QEinfinity.
loki (just another slow day in the markets on the way to a right-sizing of our portfolios).
