If the size of the US government seems to be larger than ever, then you will be pleased to learn that Uncle Sam has shed 492,000 employees in the last 3 months (July-August-September), although many of these individuals were part-time census workers.  Even better news is that over the same 3-month period, the private sector has added 274,000 new workers.  The sobering reality however is that our country still has a 9.6% unemployment rate and 14.8 million out-of-work citizens (source: Department of Labor). 

The first of what may be multiple challenges to the new federal requirement that all Americans must have health insurance coverage has gone in favor of the government.  A Federal judge in Detroit ruled last Thursday (10/07/10) that the insurance mandate (which will be the law of the land in calendar year 2014) is legal (source: AP).   

The Federal Reserve wants Americans to save less and to spend more today, even if that spending is with borrowed dollars.  Their year-long program (that ended in March 2010) of buying $1.7 trillion of Treasury debt succeeded in driving up bond prices and driving down interest rates, but failed to sufficiently jump-start the economy.  The Fed is trying to decide if another round of massive bond buying will produce the desired effect this time.  The debate among Fed officials will continue at its next scheduled meeting set for early November (source: Federal Reserve).