Skip to comments.US economy: GDP growth much weaker than thought
Posted on 07/29/2011 9:05:52 AM PDT by NormsRevenge
US economic growth is much weaker than first thought, government figures show.
The economy grew at an annualised rate of 1.3% in the second quarter, the Commerce Department said. Economists had forecast growth of 1.8%.
And in a surprise move, first-quarter growth was revised down sharply from 1.9% to 0.4%.
This evidence of economic weakness increases the pressure on the government as it attempts to increase its borrowing limit.
Slow growth makes it more difficult for the US to tackle its deficit.
If Congress does not raise the debt limit by 2 August, the US government could face funding shortfalls that it cannot meet by extra borrowing.
President Barack Obama urged Democrats and Republicans in the Senate "to find common ground" on a plan to address the debt crisis.
"There are plenty of ways out of this mess. But we are almost out of time.
"If we don't come to an agreement, we could lose our country's triple A credit rating," he said. "That is inexcusable."
"On a day when we've already been reminded how delicate the economy is, we can end [this crisis] ourselves."
(Excerpt) Read more at bbc.co.uk ...
Stimulus me this, BatMan/
What crawls on all four, whines and whimpers and rolls over for liberal causes?
Whatever made all these high-powered Socialist politicos think they could socially engineer and fiscally confiscate so much with so little understanding of the havoc they would leave in the wake of their quest?
Did you vote for that? I didn’t.
High Energy prices, fostered by President 0s nusy green policies, are killing the US, and thus the World, Economy.
Every single GOP candidate should be saying a Policy of US Energy Independence in every speech from now to Nov 2012.
High Energy prices have an radically negative effect on the economy. High energy prices destroy US Consumer Confidence and they eat up US Consumers discretionary spending dollars.
US Consumer spending is the engine that drives the World Economy. Without it any economic recovery will be anemic at best.
High energy prices effect not only the price of gasoline, but also the price of every good and service the consumer buys. It also drives up the price of the energy the consumer buys to power their homes. It drives up the costs for producers to produce the goods US Consumers buy.
Until the cost of energy is addressed the US, and the world, economic recovery is going to be stagnant at best.
Unexpected.. er, Surprise! Golly, couldn't keep the Ponzi scam going forever.
The new spelling of "unexpectedly".
That's very bad news
I wish they would spell it the right way: "we were 100% wrong" ...or "we were lying". These economists are wrong so often they either have to be complete morons or lying. Either way, in any other profession (except politician), they would have been fired a long time ago for being so wrong or for lying.
More “unexpected” news?
Since every week the numbers are “unexpectedly” bad, perhaps the MSM need some new economists to come look to with some more realistic expectations. “Unexpected” and “revised downward” have become a running joke here on FR, yet it keeps happening over and over. Idiots like Bill Kristol on Fox news ask where is Sarah Palin’s Plan (IT’S THE SPENDING STUPID!!!!!) yet no one asks where is the Fin President’s plan. They all say the Republican’s are being intransigent, yet the Senate has yet to pass a budget in 800 days and certainly hasn’t passed a debt ceiling plan. Repubs are very bad at messaging. I keep seeing commercials on Fox news with some Seniors complaining about proposed medicare cuts, yet Obozo Care cut 500 billion from medicare to pay for a health care bill nobody wanted and Repubs don’t run any adds about that. We are getting force fed Romney who is little more than McLame with a full head of hair. Run Sarah Run!!!!!!
In my lifetime, I’ve never seen GDP revised up or down 0.5% much less 1.5%. Simple conclusion: The original estimate of 1.9% was yet another blatant obummer lie.
Oh, but lookie the growth last qtr was so much higher than the previous qtr. At least until the latest qtr gets revised downward by about 3/4s.
Private business would fail if they used these analysts to predict their future market strategy.