The United States economy expanded at a rate of 2.9% this year the highest growth in the last two years. "This shows that the U.S is roughly on track. It's a natural bounce back following a pretty underwhelming year so far,"says Luke Bartholomew, a fixed income investment manager at Aberdeen Asset Management. The economy gained some momentum in the third quarter but before the election it is at about 1.7%. A couple of economists took a look at Donald Trumps middle skill workers wages plummet. He said that the growth in the last couple of years was "dismissal" and he called the growth that we have right now "modest". Trumps says that he wants to get growth up to 4% if he gets elected. The economist who studied this say that that is just unrealistic. American spenders continue to drive growth throughout this year and I think that will continue because we have the holidays coming up so we should see steady growth in consumption.
http://money.cnn.com/2016/10/28/news/economy/us-economic-growth-gdp-third-quarter/
I would like to see how Donald Trump will increase economic growth by 4% when he wants to impose tariffs on Mexico and China and get rid of NAFTA even though the 2.9% growth was partly due to the huge export of soybeans to China
ReplyDeleteAlthough I do agree the fact that American consumption will increase due to the holiday season, I do not see it as realistic that the economy will expand up to 4% in that time.
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