Wednesday, December 23, 2009

News item of the day

The economy grew at a 2.2 percent pace in the third quarter, as the recovery got off to a weaker start than previously thought. However, all signs suggest the economy will end the year on stronger footing.

The Commerce Department's new reading on gross domestic product for the July-to-September quarter was slower than the 2.8 percent growth rate estimated just a month ago. Economists were predicting that figure wouldn't be revised in the government's final estimate on third-quarter GDP.

This is simply incredible because what the article from the AP fails to report is that 2.8 percent figure they cite is a downgrade itself from the original 3.5 GDP figure made by the “experts” back in November.

3.5 all the way down to 2.2… who’s doing the books?

And with a completely straight face, the November article from Fox News adds that the “experts” expect the economy to slow to a growth rate of 1% “as the impact of the $787 billion stimulus package fades…”

Even the AP article acknowledges that “much of the third quarter’s growth was supported by government stimulus spending.”

Not quite working out as well as expected, perhaps? Double-dip, anyone?

No comments: