We’re in “horrifying economic statistic of the day” territory now. From the AP:
Orders to U.S. factories for big-ticket manufactured goods plunged in October by the largest amount in two years as manufacturing was battered by the overall economic weakness.
The Commerce Department reported Wednesday that orders for durable goods dropped by 6.2 percent last month, more than double the 3 percent decline economists expected.
As the economic crisis has unfolded, there’s been a fair amount of discussion about how our economy doesn’t make stuff any more. This isn’t entirely true, of course, but it does reflect concern over manufacturing being moved to low wage countries.
One risk, I think, is that the crisis will further hollow out our remaining industrial capacity to the point where we’re left with not much more than financial services. We’ll be kind of a giant United Kingdom with better food. (I kid, UK folks. You know I love you. And I hear your food is much better these days.)