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January 9, 2017 • Issue 17:01:01
Tapping into the U.S.
economic pulse
By Ann Train In addition, LaBrecque sees evidence of confidence in
the economy among his business clients. "They're going
A t the beginning of 2017, the future direction of after the financing now," he said. "They're getting ready to
the U.S. economy is anybody's guess, but signs purchase equipment, new buildings. I'm not talking about
appear to be positive. Sources in the payments giant deals, but $5 million to $11 million deals." He added
industry expect continued growth in several that going forward, the small business sector probably
sectors, while some economic observers view potential will be one of the biggest beneficiaries.
income and corporate tax reductions and uncapping
of business capital expenditure deductions as potential The University of Michigan monthly Index of Consumer
boons to personal spending and domestic business expan- Sentiment surged to 98.2 in December, its highest level
sion. since January 2004. Setting a record for the index, which
dates back to the late 1940s, 18 percent of respondents
Leon LaBrecque, Managing Partner and Chief Executive surveyed expressed optimism that new economic policies
Officer of LJPR Financial Advisors, has tracked financial would favorably impact the economy. University analysts
trends for four decades. He believes the nation is entering predicted real consumption in the United States will grow
uncharted waters because the indicators we typically by 2.5 percent this year.
use are going to change. "I can tell you that capital goods
orders, if [Congress passes] a new tax bill, will probably However, in the final days of 2016, the national debt
rise very dramatically in 2017," he said. Along with that, was approaching $20 trillion, so even minor market
he expects manufacturers' orders, interest rates and fluctuations could have a ripple effect on the economy.
consumer expectations to rise as well. According to economist Richard Curtin, Director of
the Survey Research Center at University of Michigan,
growth that is too slow or expectations that are too high
represent barriers to maintaining high levels of consumer
confidence and impact economic stability.
Contributed articles inside by:
Brandes Elitch.........................................................................................22
Kelly Cullum.............................................................................................29
John Tucker..............................................................................................38
Don Bush..................................................................................................42
Jeff Fortney..............................................................................................44
Adam Hark...............................................................................................46
TOC on page 3
Continued on page 34
