Growth in gross domestic product -- a measure of all goods and services produced within U.S. borders - rose at a 1.3 percent annual rate, the Commerce Department said. First-quarter output was sharply revised down to a 0.4 percent pace from 1.9 percent.
Economists had expected the economy to expand at a 1.8 percent rate in the second quarter.
In addition, fourth-quarter growth was revised down to a 2.3 percent pace from 3.1 percent, indicating that the economy had already started slowing before the high gasoline prices and supply chain disruptions from Japan hit.
Economists had expected the economy would show signs of perking up by now with Japan supply constraints easing and gasoline prices off their high, but data has disappointed. This and the sharp downward revisions to the prior quarters suggest a more troubling and fundamental slowdown might be underway.
So now what? According to Obama and Biden we should SPEND more. Is that what you think we should do? We need at least 2.5% GDP to create jobs and bring down the unemployment from the 9.2%. We have now had 3 more quarters below that. And the one quarter the this Administration bragged about and said our economy was turning the corner when we had at the time an estimate GDP of 3.1% is now only 2.3%. No other administration in history has been given as much money to fix an economy and he has failed miserably with it.
Anything under 2.5 is going in reverse. and .4 nd 1.3 are really not good numbers. I wouldn't be surprised if we re still over 9% at election time at this pace.
CriticalBill wrote: We need to go ALLIN
before 2013 since the world will be over by then anyway (just don't tell your kids).
Has anyone asked Biden what happened to his "recover summer" that he predicted a couple summers ago?
The same thing that happened to obama's promise that the stimulus would keep up under 8% unemployment. All empty promises and empty words from empty suits.
Get ready for the blame game. I'm going to make a prediction into the future 7 days- the Democrats will be blaming the bad economy on the republicans, even though this has been Obama's economy for 3 years now.
When our debt rating gets lowered (and it will) not because they didn't have a deal to extend our credit limit- it'll be because of our "debt to income" ratio. Credit ratings do not get lowered because of lower or higher limits- they get lowered because we spend too much in relation to our income. The left will use this squabble in D.C. to blame the republicans for not eagerly rubber stamping the trillions more Obama wants to spend.
So there it is- my predictions for the coming week, and for the days (soon to come) after our US Debt rating is lowered. We are already not a AAA rated country- we havn't been for years, the AAA rating was just a free gift from the credit rating companies.
