Frustrating news about the last days of the previous president’s administration continues to find its way to the public.
Americans tired of hearing all the gloom and doom of how bad they are as a people and longed for a new day with better opportunities. Americans are industrious people who need a working avenue to succeed without constant beratement from liberal idealists with an agenda of oppression.
A key indicator of the nation’s economic health is the gross domestic product – the total value of all finished goods and services produced in the US annually.
The GDP struggled again last quarter as it has for eight years under a feckless national leader while all indicators under President Donald Trump show a positive outlook this year.
U.S. economic growth slowed sharply in the fourth quarter, reported Reuters, as a plunge in shipments of soybeans weighed on exports. Steady consumer spending and rising business investment suggested the economy would continue to expand.
Gross domestic product increased at a 1.9 percent annual rate, the Commerce Department said on Friday in its first estimate of fourth-quarter GDP. That was a deceleration from the 3.5 percent growth pace logged in the third quarter.
As a result, the economy grew only 1.6 percent in 2016, the weakest pace since 2011. Growth last year was constrained by cheap oil and a strong dollar, which hurt company profits and undercut business investment.
Economists polled by Reuters had forecast GDP rising at a 2.2 percent rate in the fourth quarter.
Economists believe the new year with a fiery new president will boost the economy.
With a labor market at or near full employment starting to lift wages and supporting consumer spending, the outlook for the economy is fairly bright. Growth this year could also get a boost from President Trump’s pledge to increase infrastructure spending, cut taxes and reduce regulations.
Although Trump has offered little detail on his economic policy, his promises have been embraced by consumers, businesses and investors. Consumer and business confidence have soared, while the US stock market has rallied to record highs.
Consumer spending, which accounts for more than two-thirds of US economic activity, only grew at a 2.5 percent rate in the fourth quarter compared to a 3.0 percent pace in the third quarter, Reuters reported.
Income at the disposal of households stalled at 3.7 percent in the fourth quarter after increasing at a 4.1 percent rise in the prior period. Savings fell to $791.2 billion from $818.1 billion in the third quarter.
Economists can banter over the economic numbers until the cows come home.
For consumers, they spent money as normal leading into the fourth-quarter holiday season. Businesses cautiously watched spending during the presidential campaign and then let loose with the election of President Trump.
Trump has inspired individuals and businesses to move forward with a positive financial outlook. Expect more of the same the next four years.