To Understand The US Economy Next Year, You Need To Recognize The Significant Events That Happened In The Last Week

Yesterday we wrote about the significance of the Durable Goods Orders number, and how the fact that businesses were re-accelerating their purchases of investment equipment was a strong sign that pre-Cliff uncertainty paralysis is not actually affecting the economy. It's a huge deal that this major fear is not playing out as people might have thought. In a new note, Goldman's top economist Jan Hatzius takes a look at the past week, and explains the real big picture: The proper way to think about ...