United States GDP Growth Continues Exceeding Expectations
Who are you going to believe? Your eyes, or the White House?
United States GDP Growth Continues Exceeding Expectations
January 30, 2020 4 minute read
Council of Economic Advisers
Today, the Bureau of Economic Analysis released its advance estimate for United States GDP for the fourth quarter of 2019 and the entire calendar year of 2019. The release estimates that real GDP grew 2.1 percent at an annual rate in the fourth quarter of 2019 and 2.3 percent over the four quarters of 2019. Consumer spending and residential investment posted notable gains, propelling GDP growth and setting the stage for future economic expansion. These results show that the economy remains resilient despite a slowdown across the rest of the world and the continuation of the longest expansion in American history.
GDP growth in 2019 continues to exceed pre-election forecasts. For example, in its final projection before the 2016 election, the Congressional Budget Office (CBO) estimated that real GDP would grow at a 2.0 percent annual rate over the first 12 quarters of a new Administration. Instead, under President Trump, real GDP beat expectations and grew at a 2.5 percent annual rate from the election to the end of 2019faster than the rate under President Obamas expansion period.
Last year marked the third consecutive year that real GDP growth exceeded the final CBO and Federal Open Market Committee projections made before the 2016 election, as shown in the figure below. Because of economic growth surpassing expectations, real GDP at the end of 2019 is $260 billionor 1.4 percenthigher than CBOs projection.
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Todays advance estimate of fourth quarter GDP shows that the American economy continued expanding at a healthy pace in 2019 despite strong headwinds from the global economy and expectations of growth moderating as the current record-long expansion matures. Along with strong growth in consumer spending and residential investment and the resolution of factors that held back GDP growth in 2019, these results provide reason to expect that the economy has further room to expand in 2020.
Yeah, but:
The US economy grew at the weakest pace of Trump's presidency in 2019
Iliyah
(25,111 posts)and I do not trust anything that comes from the WH.
Karadeniz
(22,272 posts)4...5...even 6% growth, balancing the budget and eliminating the deficit. Have I been misled?
SWBTATTReg
(21,859 posts)not even close, and hasn't been. Everything rump has done, is cut growth, stifle trading by his repressive tariffs, increasing the deficit on a massive basis, increase the income for only a tiny sliver of the population (the 1%ers, and no one else), help businesses w/ a reduced tax burden (which didn't return the reductions via better wages, etc.). Housing is slowing down, consumer debt is at an all time high (because incomes aren't keeping up with costs), etc.
A cover up and a joke as usual.
czarjak
(11,191 posts)Trump will beat that.
Midnightwalk
(3,131 posts)The tax cuts were supposed to get us to long term growth over 3%. Instead we see no improvement over the Obama years at a cost of >1 trillion dollar annual deficits.
[link:https://www.nytimes.com/2019/03/19/us/politics/trump-tax-cut-economic-forecast.amp.html|]