The boom is here: the economy just grew 5 percent, and it’s not going to stop

[iamwhatiseem]

Duddley and Rwinger at it again I see...

 

[EdwardBaiamonte]

The boom is here: the economy just grew 5 percent, and it’s not going to stop

By Matt O'Brien December 23

5 percent annual pace in the third quarter this year, revised up from the 3.9 percent that the Commerce Department had previously estimated. It's the best quarterly growth since 2003, and, on the heels of the 4.6 percent growth in the second quarter, it's also the best six months the economy has had in that long. The even better news, though, is that this growth, unlike every other uptick the past few years, looks sustainable.


This isn't a blip. It's a boom.


Well, at least by the sad standards of this slow and steady recovery. The truth is that for all the hype and headlines about every little head fake, the economy has just been chugging along at the same 2 percent pace the past few years. Sometimes it's grown a little bit faster than that when companies have had to restock their inventories or sell more overseas. And sometimes it's grown a little slower than that when the opposite has happened, or when, like last winter, Arctic conditions have kept people in their homes and out of stores. But, as you can see above, growth has been remarkably consistent if we look at it over the past year, and not quarter, to smooth out these regular ups and downs.


The economy's 2.7 percent growth the past 12 months actually isn't the fastest of the recovery, but it is the best. You can see that if we strip out the volatile inventory and net export numbers to get something that goes by the catchy name of final sales to domestic purchasers. It shows us the economy's underlying strength in terms of consumer spending, government spending, and private investment. Basically, how much of today's growth we can expect to continue tomorrow. And that's also grown 2.7 percent the past year, a post-crisis high. Most of that's due to stronger consumers, who thanks to the combination of lower unemployment and less debt, are finally in decent enough financial shape to start spending a little bit more. That's only going to continue now that job growth is picking up, and plummeting gas prices are taking money out of the pump and putting it into people's pockets.


It's been awhile, but this is what a virtuous circle looks like.

While the RWs are worshipping Pootin, President Obama just keeps plugging away for the benefit of the US middle class.

Just think what he could accomplish if the Repubs had been doing the same thing.

Thank you Mr. President.

of course Luddy is a total illiterate liberal who cant name one thing Barry did for the economy that made it better rather than worse.