Random Roundup

1. Intrade odds for the Republicans to control the House after the November elections is now up to a contract-high of 60%.

2. China: Mobile phone users top 805 million in June.

3. Eurosclerosis Comes to America (NYT, with great graph)- "This recession has been unique in terms of the multitude of public policies that dull incentives to work and earn income."

4. Rethinking Socialized Medicine in Canada (IBD).

5. When you think of quality healthcare at lower costs, think Brazil.

6. Foreign-trained MDs As Good As Those Trained in U.S.

7. Android Beats iPhone With New Subscribers.

Even If Deflation Is Bad, We Know How to Solve It

"Even if deflation is a bad thing, we know how to solve it. Print enough new money and people will eventually start spending it. It’s alleged that no matter how much you print, it can all just fall into the liquidity trap, and it’s alleged that this is what happened in Japan over the past decade. But I am sure the Japanese just didn’t try hard enough. Liquidity trap or not, I guarantee you there’s a central banker in Zimbabwe who knows how to fight deflation. If we really get into trouble, all we have to do is hire him."

~Steven Landsburg

Dow Jones ESI Hits Highest Level Since June 2008

NEW YORK, August 2, 2010 –"The Dow Jones Economic Sentiment Indicator (ESI) has given an upbeat signal on the economy, registering its biggest rise since October and a return to the level of June 2008.  The ESI rose to 42.3 in July (see chart above), two points higher than the 40.3 tracked in June 2010. The rise is modest, but it is an acceleration from the slender gains of recent months and implies some recent pessimism about the economy may be misplaced."

U.S. Car Buyers Are Bullish on the U.S. Economy

Car sales rebounded in July to the highest level since last August, as consumers purchased more than 12 million new vehicles last month at a seasonally adjusted annual rate (see chart above, data here). On a cumulative year-to-date basis, vehicle sales are 14.7% ahead of last year at this time.  Compared to the month of July last year, total vehicle sales are up by 5.1% this year, boosted by a whopping 17.6% increase in light trucks versus last July (see related CD post "The Pickup Indicator"). 

Ignoring last August when sales were artificially high due to the "cash for clunkers" program July auto sales were the highest in almost two years, since September 2008 when 12.52 million units were sold (on annual basis).  The American consumers must be pretty bullish on the American economy based on their willingness to buy new vehicles, despite all of the gloom and doom and talk of a "double dip."    

West Coast Container Volume Jumps 15 Percent

Journal of Commerce -- "Container volume at West Coast ports increased 15 percent in the first six months of 2010 compared to the same period in 2009, according to the Pacific Maritime Association. The tally reflects all loaded containers, both inbound and outbound. Containerized imports on the West Coast increased 17 percent while exports were up 11 percent."

More From the "You Just Can't Make This Stuff Up" File: Universities That Use Kindles vs. the ADA

From today's Washington Examiner:

"The Justice Department threatened several universities with legal action because they took part in an experimental program to allow students to use the Amazon Kindle for textbooks. Last year, Princeton, Arizona State and Case Western Reserve wanted to know if e-book readers would be more convenient and less costly than traditional textbooks. The environmentally conscious educators also wanted to reduce the huge amount of paper students use to print files from their laptops.

It seemed like a promising idea until the universities got a letter from the Justice Department's Civil Rights Division, now under an aggressive new chief, Thomas Perez, telling them they were under investigation for possible violations of the ADA.

The Civil Rights Division informed the schools they were under investigation. In subsequent talks, the Justice Department demanded the universities stop distributing the Kindle; if blind students couldn't use the device, then nobody could. The Federation made the same demand in a separate lawsuit against Arizona State."

HT: Colin Grabow

ASA Staffing Index Reaches 91-Week High in July

The American Staffing Association (ASA) Staffing Index for temporary and contract employment activity reached a 91-week high of 92 for the week of July 19, the highest level since a reading of 93 for the week of October 20, 2008 (see chart above, data here).  Compared to the same week last year, the latest ASA Staffing Index has improved by 24.3% for Week 30 (see bottom chart above). This marks the 14th week in a row with percentage gains above 20% compared to the same month in 2009, the 23nd straight week of double-digit percent increases vs. 2009, and the 29th consecutive week for the ASA being above the same level in the previous year (ever week this year).

The ongoing gains in the ASA Staffing Index every week this year to a new 91-week high hopefully translate eventually into more broad-based, permanent job creation as we move forward.