it was the heavy spending by business that has propelled the economy forward – not the consumer - who on a per person basis barely has maintained their inflation and tax adjusted income.
The July Beige Report kind of flys in the face of this, consumer spending has been strong in 2005 except in Boston and New York.....could your source have an east coast bias?
Most Districts reported increases in retail sales, and reports on retailers' expectations were generally positive. Dallas said sales growth had been stronger than expected given high gasoline prices, and Atlanta noted that higher gasoline prices did not appear to have cut into spending on other items; Cleveland and Chicago said warmer weather may have boosted sales in their Districts. Minneapolis and Kansas City reported solid year-over-year retail sales gains, and sales also increased in the Philadelphia, Richmond, and San Francisco Districts. The weakest report on retail sales came from the Boston District, where sales were flat or down from a year ago and retailers were less optimistic than in previous surveys. New York also reported a softening in sales in early July following solid growth in June, while St. Louis said reports on retail sales were mixed in June."