Memo to Obama: Cars are not like pizzas ~ By Herman Cain

From WorldNetDaily

By Herman Cain Posted: November 02, 2009 ~ 1:00 am Eastern © 2009 In my commentary last week I mistakenly referred to the Gross Domestic Product, or GDP, growth rates as quarterly for 2009, instead of "rolling four quarters" of negative growth rates of 1.9, 3.3 and 3.8 percent, respectively, which they were. My apologies for the error! But when you use the latest released GDP for the third quarter of a positive 3.5 percent, the latest corresponding rolling four quarters growth rate is a negative 1.4 percent. The chairperson of the president's economic advisers, Christina Romer, said this "jolt to the economy" was caused by the $194 billion already spent from the "stimulus bill." You can call it a jolt, but it is not an economic "turnaround" or an end to the recession as some analysts are claiming. Here's why: Cars and houses are not like a pizza promotion. Even though the administration claims great success with Cash for Clunkers, and the new homebuyers' tax credit, the promotions merely caused some of the sales to happen sooner rather than later, but they do not generate repeat sales. Every business person knows that, but maybe that's the problem. In the pizza business (remember, I used to run a pizza company), a good promotion would stimulate trial purchases, and if the customers loved the product, they would be back within the following two weeks to make a repeat purchase. People do not buy cars and houses every two weeks. [CLICK HERE TO READ MORE]