What Does 1.2% GDP Growth Mean to You?
What Does 1.2% GDP Growth Mean to You? Tuesday May 1, 2007 I realized that I got so caught up in my blog yesterday about the similarity between 2000 and now that I neglected to explain the relevance of the low GDP growth rate. The BEA reported that the economy has slowed to 1.2% growth thanks to slowing residential construction, slowing exports, and slowing business spending. Consumer spending, at $8.3 trillion, is the main driver of growth. What is the consumer spending more money on? I don’t have to tell you that it is higher expenditures in such categories as food ($1.1 trillion), medical care ($1.3 trillion) and durable goods, such as cars and furniture ($1.2 trillion). (See BEA News Release: Full Release) What It Means to You That part I did cover
