I generally ignore government data because it is subject to significant revisions and, in many cases, relies on older methodologies. I also pay little attention to the countless surveys sent to me because their methodology and sample sizes are often dubious, and survey sponsors frequently have an agenda (“our survey shows that small businesses lack customer service software,” says a firm that sells customer service software).

So, where do you go to really find out how the economy is faring?

America is a capitalist economy, and it runs on three critical components: capital, consumers, and jobs. Follow those, and you’ll know.

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