Sunday, March 3, 2019

US GDP 2018


US Nominal GDP grew from $19.832 trillion in Q4 2017 to $20.891 trillion in Q4 2018.  That is an increase of $1.060 trillion reflecting 5.34% US GDP growth for 2018.

US Nominal GDP Q4 2017 was $19,831,829,000.  US Nominal GDP Q4 2018 was $20,891,367,000. The US Nominal GDP increase in 2018 was $1,059,538,000


ICYMI: The Wall Street Journal: “Thank You, Tax Reform”,  Issued on: March 1, 2019
 
Thank You, Tax Reform - “The American economy is a tremendous engine of prosperity when politicians get out of the way, and for proof look no further than Thursday’s report on fourth-quarter growth,” The Wall Street Journal editorial board writes. “Tax reform and deregulation, take a bow.”

WSJ: Tax reform arrived in 2018, removing the roadblock of the highest corporate tax rate in the world and inviting companies to repatriate profits held abroad. Investment picked up almost exactly as chief White House economist Kevin Hassett predicted it would. He predicted growth for the year would rise by 3.1% in 2018 on a fourth-quarter to fourth-quarter basis, and growth came in exactly at 3.1%.

The 3.1% reported by the WSJ reflects GDP growth minus Inflation.
Yesterday, the White House Council of Economic Advisers reported that America’s economy achieved 3 percent growth for the first time in 13 years in 2018.

There are four components of GDP:
1.    Personal Consumption Expenditures: All the goods and services produced for household use. This is 68% of total GDP.
2.    Business Investment: Goods and services purchased by the private sector.
3.    Government Spending: Includes federal, state and local governments.
4.    Net Exports: The dollar value of total exports minus total imports.

Norb Leahy, Dunwoody GA Tea Party Leader

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