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There is no right or wrong since no one can foresee the future. One never knows what could happen that would affect the economy. For the moment, the following are the reports and predictions for the team’s six economic indicators pertaining to the housing industry: real GDP, unemployment, inflation rate, personal income, retail sales, and housing starts.
Real GDP
A Federal Reserve press release dated January 31, 2007 states, “the economy seems likely to expand at a moderate pace over coming quarters.” The Board understood this after current indicators have revealed a rather stronger economic growth, and several possible signs though home sales have dropped in the first month of 2007 by nearly a third from year-ago levels, buyers are being choosier, but are prepared to spend for what he or she desires (Hirsch, 2007)...
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