Some good economic news at last, and none too soon I might add.
Consumption Has Recovered, Jobs Will Follow](http://seekingalpha.com/article/185844-consumption-has-recovered-jobs-will-follow)
As a supply-sider, I don’t believe that consumption drives economic growth. The driver of growth is supply, and supply goes up when people work more, when the factors of production become more productive, when investment goes up, and when risk-taking goes up. I show this chart of real personal consumption expenditures merely to show that what has happened in the economy over the past year is typical of every business cycle recovery. With almost all economic indicators confirming a decent recovery, with productivity up strongly, with business capital spending up strongly, with risk appetites increasing (e.g., the 60% rebound in the S&P 500 and the dramatic narrowing of credit spreads) and with consumption up as well, it is only a matter of time before we see an increase in the number of jobs. Jobs are the last place that a recovery will show up.