GDP grew at a 6.9% pace to close out 2021

That's an awesome number, and the year 2021 overall growth was 5.7%

GDP grew at a 6.9% pace to close out 2021, stronger than expected despite omicron spread
https://www.cnbc.com/2022/01/27/gdp...ger-than-expected-despite-omicron-spread.html

• 
  
  
  • Gross domestic product accelerated at a 6.9% annualized pace in the fourth quarter, well ahead of the 5.5% estimate.
  • Consumer activity and business spending led the gains, which propelled the U.S. economy to its strongest full year since 1984.
  • Jobless claims remained elevated at 260,000 while orders for long-lasting goods hit their lowest point since April 2020, signaling an end-of-year slowdown.
  • Gains came from increases in private inventory investment, strong consumer activity as reflected in personal consumption expenditures, exports, and business spending as measured by nonresidential fixed investment.
    
    Across-the-board decreases in the pace of government spending subtracted from GDP, as did imports, which are measured as a drag on output.

 

It's so nice that the blue state tyrants are finally letting people go back to work now that Biden's in office.

 

Same goes for all States, but what you mean "finally"? Its not like this is starting to happen now, because 2021 overall growth was 5.7%, and as you know, 2021 started a year ago.

 

What we need now is for Americans in rural areas to participate more in the modern economy and not let RINOs turn them into a perpetually angry, poor, uneducated victim class who reliably vote for the same people who keep them down through lack of public spending in key areas within their states and districts. This is the age of the independent creator and entrepreneur. The internet is providing great opportunity for everyone to build some kind of successful small business for themselves.

Otherwise, a good GDP doesn't mean much to them. It doesn't help those who want to mine coal all their lives and expect that to be a realistic expectation. Rural America needs the kind of attention that the feds have been paying to the "developing world" for decades now. We need an administration that looks at rural America as developing, because it does need development. Biden has at least addressed it with his spending initiatives, but I'm thinking we need him and others to go further. We also need them to be able to fight the RINOs effectively and win, so that people get these benefits.

It's a national security issue, even, when we have millions of Americans suffering from so much poverty and such poor education that they become pawns for men like Donald Trump. The more educated and wealthy people are, the less likely they are to fall for charlatans or be radicalized into violence.

 

There are no rich people who voted for Trump and no poor people who voted for Biden?

Who knew.

 

"Rural America needs the kind of attention that the feds have been paying to the "developing world" for decades now. We need an administration that looks at rural America as developing, because it does need development."

There are so many things wrong with this post that I don't know where to begin. Rural America doesn't want the administration's "help." If it did, the people wouldn't be living in the country. They'd be in Chicago dodging bullets and flash mobbing drug stores.

 

Rural America needs investment and, importantly, voted for that when they voted for Trump. He ran on investing in rural America.

 

I'm not all that interested in the quarterly number, but the annual is fantastic news.

And since this already came up in another thread, before RWers come in and try downplaying the numbers, 5.7% is AFTER accounting for inflation. AFTER.

 

What particular investments? If the investments will change the character of the countryside, the people won't want them.

 

Trump has never been specific. He thrives on vague promises and rants. But importantly, people in the "Rust Belt" want investment that will bring economic opportunity, yet paradoxically oppose it because they hate big gubmint.

 

The wall sounded pie-in-the sky, but he actually got as much of it done as he could. He talks too much, but he is not just a talker.

 

He's a talker, a conman, and a parasite, and that's about it. The wall was always nonsense, but it isn't the worst of his cons.

 

Go Biden, people say best President ever, no other President could have done this, biggly historic

 

Is there a reason to think this is due to Biden? Seems like we've just gotten back to a trend that had been going on for decades.

 

it's a mock of what Trump would do.... it was sarcasm

if Trump had won, he would be claiming how great he is and that this never would of happened if Biden had won

 

Liked retroactively

 

yeah, in today's world it's sometimes hard to tell what is sarcasm and what isn't

 

This also reminds me about how RWers had chided Obama for not breaking 3% annual GDP . . . then whined when Trump never broke 3% GDP . . . and are now coming up with defenses when we've broken 3% GDP.

 

Actually, this isn't good news, and here's why:

First, let's define what GDP is... GDP is the dollar value of all produced goods and services minus the dollar value of all imported goods and services.

Thus, the 6.9% "growth" value means that the dollar value of our economic production increased by 6.9% over the prior quarter.

What this number DOES NOT SHOW is the inflationary impact that is currently occurring. When goods and services cost more, the money spent on them increases. Yes, the BEA attempts to remove this, but they do so by using a much lower rate of inflation than what is actually being realized.

Once one realizes this, and then realizes that the GDP is not a measure of actual output of stuff created, but rather only an aggregate valuation of that stuff, one then realizes that the "good news" really isn't what it appears to be on its face. For example:

20 trillion units of stuff @ $1.00/unit = $20 trillion valuation
20 trillion units of stuff @ $1.15/unit = $23 trillion valuation
This example shows an increase of 15% in economic valuation (GDP) without creating a single product more.

So, I must ask, did our economy ACTUALLY expand 6.9% from the prior quarter?? OR are we simply realizing the increased valuation of goods and services while the actual outputs of those goods and services are decreasing??

Another way of thinking about this is thinking about taking a trip to the grocery store now vs taking a trip to the grocery store a few months ago. --- Did you pay 15% more at the grocery store AND also leave with 15% more stuff?? OR did you pay 15% more at the grocery store AND leave with the same amount of (or even less) stuff than you did a few months ago??

THIS sort of thing is what is sadly not being discussed with regard to the "6.9% GDP increase" number that was released...


IOW, sure, a 6.9% increase in GDP is all good and wonderful... BUT I'm paying 24% MORE for my health insurance premium than I did last year (and I'm receiving the same amount of coverage)... I'm paying 24% MORE for my propane to heat my home than I did last year (and I'm receiving the same amount of propane).

My pocketbook, which is what actually matters at the end of the day, says that the Biden Regime's economy, to put it in a nice way, ****ING BLOWS ASS CHUNKS...

FJB.
Let's Go Brandon.
"I did this".

 

Real GDP (which is what the 5.7% is based on) does, indeed, account for inflation. If you think the real inflation rate for the year was significantly higher than ~7%, then feel free to provide evidence. Not anecdotes and feelings, but evidence. So for no one has.

 

No it isn't. See my post #19 for why it isn't.

As I address in my post #19, the "accounting for inflation" makes use of a MUCH lower rate of inflation than what is actually being realized by people purchasing the end product. IOW, it is not being anywhere near fully accounted for.

 

Yes, it uses "deflator" to account for inflation.

• Real gross domestic product (real GDP) is an inflation-adjusted measure that reflects the value of all goods and services produced by an economy in a given year (expressed in base-year prices). and is often referred to as "constant-price," "inflation-corrected", or "constant dollar" GDP.
• Real GDP makes comparing GDP from year to year and from different years more meaningful because it shows comparisons for both the quantity and value of goods and services.
• Real GDP is calculated by dividing nominal GDP over a GDP deflator.

https://www.investopedia.com/terms/r/realgdp.asp#:~:text=Key Takeaways-,Real gross domestic product (real GDP) is an inflation-,or "constant dollar" GDP.

 

What is your data for the "real rate"? Note that feelings and anecdotes are not evidence.

 

... for a small minuscule of it... not all of it.

It was.

I already did.

I already did.

 

No, you didn't. You provided an anecdote. Where is your actual evidence? Anecdotes and feelings are not evidence, and that's all you have provided.