WHAT, NO HOOVERVILLE?:

More good news for the bulls (Peter Morici, 2/09/07, Asia Times)

On Wednesday, the US Department of Labor reported that productivity in the non-farm private business sector increased at a 3.0% annual rate in the fourth quarter of 2006. This was a sharp change from the 0.1% decline recorded in the third quarter and the 1.2% second-quarter gain.

Average productivity for all of 2006 was up 2.1% over 2005.

This solid performance indicates that the growth potential of the US economy remains formidable, and greater than economists and policymakers have been inclined to acknowledge. Profits and stock prices should continue to surge higher.