Final reading on third quarter GDP..

[planosteve]

I don't get it.

Is there some pain or extreme discomfort involved in acknowledging that GDP grew nicely in the 3rd quarter?

Yes, if it's a lie.
More:
And Tyler Durden breaks it down well enough in Here Is The Reason For The “Surge” In Q3 GDP (delayed health-care spending stats make up for 2/3 of the 5%), but still. I would have hoped that more Americans had clued in to the nonsense that has been behind such numbers for many years now. The US has been buying whatever growth politicians can squeeze out of the data and their manipulation, for many years. The entire world has.

The 5% stat is portrayed as being due to increased consumer spending. But most of that is health-care related. And economies don’t grow because people increase spending on not being sick and/or miserable. That’s just an accounting trick. The economy doesn’t get better if we all drive our cars into a tree, even if GDP numbers would say otherwise.

All the MSM headlines about consumer confidence and comfort and all that, it doesn’t square with the 43 million US citizens condemned to living on food stamps. I remember Halloween spending (I know, that’s Q4) was down an atrocious -11%, but the Q3 GDP print was +5%? Why would anyone volunteer to believe that? Do they all feel so bad any sliver of ‘good news’ helps? Are we really that desperate?

http://www.theautomaticearth.com/you-thought-the-saudis-were-kidding/

[GFB]

I don't get it.

Is there some pain or extreme discomfort involved in acknowledging that GDP grew nicely in the 3rd quarter?

Yes, if it's a lie.
More:
And Tyler Durden breaks it down well enough in Here Is The Reason For The “Surge” In Q3 GDP (delayed health-care spending stats make up for 2/3 of the 5%), but still. I would have hoped that more Americans had clued in to the nonsense that has been behind such numbers for many years now. The US has been buying whatever growth politicians can squeeze out of the data and their manipulation, for many years. The entire world has.

The 5% stat is portrayed as being due to increased consumer spending. But most of that is health-care related. And economies don’t grow because people increase spending on not being sick and/or miserable. That’s just an accounting trick. The economy doesn’t get better if we all drive our cars into a tree, even if GDP numbers would say otherwise.

All the MSM headlines about consumer confidence and comfort and all that, it doesn’t square with the 43 million US citizens condemned to living on food stamps. I remember Halloween spending (I know, that’s Q4) was down an atrocious -11%, but the Q3 GDP print was +5%? Why would anyone volunteer to believe that? Do they all feel so bad any sliver of ‘good news’ helps? Are we really that desperate?

http://www.theautomaticearth.com/you-thought-the-saudis-were-kidding/

But you made up the part about increased consumer spending was on health care..whatever THAT means.

I'm quite sure increased health care costs would REDUCE consumer spending..like increased gas prices do.

[GFB]

Hmm..good news about the economy..which means good news for the stock market..job security..people being better able to afford the things they need..and greatly lessens the chance for a recession anytime soon..

..pisses people off...good luck!!!

[John in Plano]

AP reported this yesterday;

For the third quarter, consumer spending grew at a 3.2 percent annual rate, the best showing this year and a full percentage point above the government's estimate a month ago. The upward revision was driven by higher spending on health care.


http://www.mercurynews.com/business/ci_ ... mic-growth

[GFB]

AP reported this yesterday;

For the third quarter, consumer spending grew at a 3.2 percent annual rate, the best showing this year and a full percentage point above the government's estimate a month ago. The upward revision was driven by higher spending on health care.


http://www.mercurynews.com/business/ci_ ... mic-growth

You left out the important parts.

"Fueled by hiring gains, cheaper gas and rising confidence, consumers and businesses drove growth to a sizzling 5 percent annual rate last quarter. Though the economy is likely cooling a bit, its solid pace is brightening hopes for 2015.

The economic strength could also shape the Federal Reserve's timetable for raising interest rates from record lows.

The government's third and final estimate of growth for the July-September period was the strongest for any quarter in 11 years. The result cheered investors. In midafternoon trading, the Dow Jones industrial average was up about 93 points to 18,053, the first time it's traded above 18,000."

The final revision showed an increase in health care spending...but that was not what the bulk of increase in consumer spending was all about.

[planosteve]

AP reported this yesterday;

For the third quarter, consumer spending grew at a 3.2 percent annual rate, the best showing this year and a full percentage point above the government's estimate a month ago. The upward revision was driven by higher spending on health care.


http://www.mercurynews.com/business/ci_ ... mic-growth

You left out the important parts.

"Fueled by hiring gains, cheaper gas and rising confidence, consumers and businesses drove growth to a sizzling 5 percent annual rate last quarter. Though the economy is likely cooling a bit, its solid pace is brightening hopes for 2015.

The economic strength could also shape the Federal Reserve's timetable for raising interest rates from record lows.

The government's third and final estimate of growth for the July-September period was the strongest for any quarter in 11 years. The result cheered investors. In midafternoon trading, the Dow Jones industrial average was up about 93 points to 18,053, the first time it's traded above 18,000."

The final revision showed an increase in health care spending...but that was not what the bulk of increase in consumer spending was all about.

Oh yes it was. It was 2/3. I just posted it. "Here Is The Reason For The “Surge” In Q3 GDP (delayed health-care spending stats make up for 2/3 of the 5%"

[GFB]

From now on..all of my threads that show good economic news will be titled..."More bad economic news!"

..that way no one will be offended.

Bad economic news will be titled..."Now THIS is more like it!"

[planosteve]

From now on..all of my threads that show good economic news will be titled..."More bad economic news!"

Well, at least you will be correct most of the time.

[John in Plano]

Has Rush postulated on health care spending increase being good for gdp ?

[GFB]

Has Rush postulated on health care spending increase being good for gdp ?

I really don't think I've ever heard Rush speak about GDP on any level.

[GFB]

From now on..all of my threads that show good economic news will be titled..."More bad economic news!"

Well, at least you will be correct most of the time.

Was there ever a month, year or decade in which you said..

..."Man! ..things sure are great, aren't they?"

[GFB]

Well?

[planosteve]

Well?

Well, yes, the 50's were OK.

[GFB]

Well?

Well, yes, the 50's were OK.

Wow..65 years of misery since we were last just "ok."

[planosteve]

There really hasn't been a good year since the Keynesians at the FED took over. They have sucked over 95% of the value out of the US dollar and left us 18 trillion in debt without any means of ever paying it back.

[GFB]

There really hasn't been a good year since the Keynesians at the FED took over. They have sucked over 95% of the value out of the US dollar and left us 18 trillion in debt without any means of ever paying it back.

The Fed controls your whole life.