Friday, October 26, 2018

This, in Part, is How Trump is Boosting GDP

By Robert Wenzel - October 26, 2018 at 02:01PM

undefined

It's all about catering to the military-industrial-complex. There is a big spender in the White House who loves the military.

In the goofy land of highly questionable macro measurements, the U.S. economy has expanded at a 2.9 percent annual rate since April of 2017, according to the Commerce Department.

Faster government spending, (government spending is more accurately measured than other parts of the economy), accounted for nearly half of the acceleration, according to a Wall Street Journal analysis.

And get this, defense shifted from contracting at a 2.1 percent  annual rate between June 2009 and March 2017, to growing at a 2.9 percent  rate since April 2017. The turnaround added 0.21 percentage points on average to the nation’s overall economic growth rate, according to Commerce Department figures.

Defense outlays grew 6 percent  in the fiscal year that ended Sept. 30, thanks in part to a bipartisan budget agreement to boost government spending this year and next by nearly $300 billion above limits set in a 2011 law, including $165 billion more for military.

undefined
Click for larger.

“I would expect that, with the increase in the defense discretionary caps, that its contribution is going to increase, and in fact it will be leading overall GDP growth by mid-2019,” said Gus Faucher, chief economist at PNC Financial Services Group, reports WSJ.

WSJ notes:
Lockheed Martin Corp. , the world’s largest defense contractor, said Tuesday it expects revenue to increase up to 6% in 2019 as it boosts production of missiles and F-35 combat jets. The company reported a $1.47 billion profit for the quarter ending Sept. 30, compared with $963 million a year earlier. Its order backlog rose to $109 billion.

Boeing Co. , the world’s largest aerospace company by sales, raised its revenue and profit outlook for the year, thanks in part to strong demand for defense projects. The company won a trio of Pentagon contracts in recent weeks, after four years of sales declines in its defense unit.
Reprinted with permission from Economic Policy Journal.

from Ron Paul Institute Peace and Prosperity Articles

via IFTTT

>

No comments:

Post a Comment

Merchandise

Ron Paul America Cloud

Site Credits

Ron Paul America

is voluntarily affiliated with

Liberty Operations Group

______________________________

Site created, maintained and hosted by

Liberty Web Services

Tags

#TurnOnTheTruth 2008 2012 4th amendment 911 ACTION Afghanistan war Agency Aggression Principle al-Qaeda Alan Colmes Alert America America's Fault Americans antigun AR 15 assault weapon Audit Authoritarian bailouts Believe Big Brother big government bill of rights Blame blowback bubbles Bush Campaign for Liberty Career Politician Eric Cantor Central Bank Charity China churches collapse Collectivism Commission committee Compassion Congress Conservative constitution Crash dangerous person Democrat Democrats Donald Trump Donald Trump. Planned Parenthood drones economic Economy Edward Snowden End the Fed European Union Federal Reserve Floyd Bayne floyd bayne for congress force foreign interventionism free market free markets GOP Nominee GOP Presidential Debates Government Great Depression gun control House of Representatives housing bubble HR 1745 I like Ron Paul except on foreign policy If ye love wealth better than liberty IFTTT Individual Individualism Institute Irag Iran Iraq war ISIL ISIS Judge Andrew Napalitano libertarian Liberty Liberty Letters Liberty Report Lost mass Media meltdown metadata Micheal Moore Middle East Mitt Romney nap National Neocons New Ron Paul Ad New York Times Newsletters Newt Gingrich No Non non-interventionism NSA NSA Snooping Obama Overreach overthrow Patriot Act peace Peace and Prosperity politicians Pope Francis President Presidential Presidential Race programs prosperity Race Racist Racist Newsletters Rand Paul Read the Bills Act recessions redistribution of wealth refugee crisis Repeal Obamacare Report Republican Republican Nomination Republican Nominee Republicans Revolution Rick Santorum Rick Santorum Exposed Ron Ron Paul Ron Paul Institute Ron Paul Institute Featured Articles Ron Paul Institute for Peace And Prosperity Ron Paul Institute Peace and Prosperity Articles Ron Paul Next Chapter Media Channel Ron Paul Racist Newsletters ron paul's foreign policy Ronald Reagan ronpaulchannel.com ronpaulinstitute.org Rosa DeLauro russia Samuel Adams Saudi Arabia Second Amendment Security Senate Senator September 11th attacks Show Soviet Spying stimulate Stock Market surveillance Syria tech bubble terrorist The the Fed the poor US US foreign policy Us troops USA Freedom Act Virginia Virginia Republican Primary voluntarism. Liberty Voluntary Warner Warning warrantless wiretaps YouTube