Tax Receipts Downtrending
As we have noted in the past, on numerous occasions, there are latencies between government statistical releases and what is happening in real time.
Fleck has some interesting observations on an empirical downtrend (real time) in witholding and state sales tax receipts.
The source of this empirical data states:
"The weakening consumption trend is now established, and the majority of our tax contacts expressed real concern about a slowing in sales-tax collections. It now appears clear that consumers are not spending the billions of dollars they have saved on gas in recent months"
and observes:
"We note with a shudder that our indexes look a lot the way they did in fall of 2000, especially the weakening and then big drop in the sales tax survey. The SDI (sales diffusion index) led us into the last recession, and the states that led are very weak right now, as well."
Lets see if the government statistical releases eventually confirm these real time field observations.
Fleck has some interesting observations on an empirical downtrend (real time) in witholding and state sales tax receipts.
The source of this empirical data states:
"The weakening consumption trend is now established, and the majority of our tax contacts expressed real concern about a slowing in sales-tax collections. It now appears clear that consumers are not spending the billions of dollars they have saved on gas in recent months"
and observes:
"We note with a shudder that our indexes look a lot the way they did in fall of 2000, especially the weakening and then big drop in the sales tax survey. The SDI (sales diffusion index) led us into the last recession, and the states that led are very weak right now, as well."
Lets see if the government statistical releases eventually confirm these real time field observations.
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