Also the GDP remained at around 5.6 percent which is the best since 2003. This was the second straight quarter of growth which reflects the belief that the recession started in December in 2007 and ended in the middle of last year.
For the full year GDP fell 2.4 percent which is the biggest decline since 1946.
It is interesting to know that the growth that has been increasing will soon stop increasing to no higher than 3.3% through 2011. The GDP statistics make the economy appear to becoming stronger but the predicted slowdown in growth will not help the economy in a positive way.
ReplyDeleteGood point John. Also something to note is that the stimulus is winding down and maybe now we will see how much a of a impact it had to boost GDP growth, if at all. This will show whether or not it was effective.
ReplyDeleteI believe that the "lagging indicator" of unemployment will maintain downward pressure on the recovery of our economy in the coming years. Some economists have projected unemployment to take upwards of 2 years to recover. Additionally, last year the Federal Reserve's outlook projected a slow paced reduction in the unemployment. Only time will tell whether or not this will be an accurate projection.
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