John thomas financial

The John Thomas Financial Economic Outlook Report

The John Thomas Financial Economic Outlook Report is a must-read research john thomas financial report analyzing consumer sentiment, market outlook, credit cycles and dozens of other market influences. Compiled by Mike Norman, John Thomas Financial's Chief Economist and a noted contributor to Fox Business News, the Outlook is available to John Thomas Financial clients. Mr. Norman is a noted expert on international economics, fiscal policy and modern monetary theory.

Q & A with John Thomas Chief Economist Mike Norman

What motivated you to launch the Weekly Economic Outlook? The government and private organizations release economic data on a weekly basis. We analyze it for them and put out a short and medium term outlook based on the trends we see in the data.

How does the newsletter differ from other available newsletters; what does it offer that can't be found elsewhere? We place a heavy emphasis on fiscal policy and believe we understand this better than others.

Which experiences--or other economists--were most important in informing your understanding of macroeconomics? Warren Mosler, one of the co-founders of Modern Monetary Theory (MMT). In addition, working in television for 20 years, where I see how most of what is disseminated as information is wrong.

How do readers use the Weekly Economic Outlook in their investment decisions? Having a solid macro view is fundamental to developing investment strategy. We give readers the "big picture."

How can it be used as a tool for business? Entrepreneurs, business owners, corporate treasurers, CEO's and CFO's need to be aware of basic conditions in order to plan their strategies and/or develop new products and make investments.

Could you recommend a few books that would offer the best understanding of the forces moving our economy? There aren't many. I would recommend Understanding "Modern Money" by Professor Randall Wray and "The 7 Deadly Innocent Frauds of Economic Policy" by Warren Mosler. There are also some good blogs, mine being one. (www.mikenormaneconomics.org)

Could you give a brief overview of modern monetary theory (MMT) and its significance in contemporary economics and fiscal policy? Under a system of free-floating, non-convertible currency, which is what we have in the United States, the fiscal authority (Federal government) has no constraint on its ability to spend and, thus, support aggregate demand and full employment. The government can't "run out of money" by definition. In addition, the government via the central bank, sets the interest rate. The significance of this is that economic output and employment becomes a parameter that can be fully controlled by appropriate fiscal policy. Under a gold standard or other forms of convertibility, this is not the case. Unfortunately, we still operate as if we are on a gold standard.

About the JOHN THOMAS FINANCIAL WEEKLY ECONOMIC REPORT

The report is available to all clients of John Thomas Financial. Excerpts are posted occasionally at the John Thomas Financial blog, featuring columns from executives at John Thomas Financial and news on the firm.

In clear and accessible language, each edition of the John Thomas Financial Weekly Economic Outlook offers readers an in-depth look at the current state of the U.S. economy, along with an overview of the key domestic and international factors affecting it. Each report begins with a summary of the longer-term outlook for the economy, updating it to account for important events of the past week. This digest gives investors a solid platform from which to position themselves for the longer term, and actionable insights to profit from shorter-term moves.

Following that summary, each report offers a short analysis of a range of the most significant domestic indices and measurements for the week - such as Weekly Jobless Claims, the FHFA Home Price Index, Durable Goods Orders, GDP, Treasury Yields, Oil Price - followed by a look at several of the most relevant international indicators.

Generally, every report ends with a look at the changes in the fiscal health of the United States, and how fiscal policies and government outlays are impacting the economy. This section begins with a look at the JTF Fiscal Liquidity Index, a unique proprietary tool Mr. Norman developed for John Thomas Financial and its clients that measures daily money flows between the government and the private sector. The section follows with a look at tax receipts, spending on several major budget items and year-over-year trends, with an emphasis on analyzing the areas in which government expenditures have been able to compensate for weaknesses in the economy.