It isn’t rocket science. All you have to do to make the economy grow is give it a reason to, like reduced taxes, both personal and corporate, a business-friendly government, and reduced regulation, all which increase market confidence and convince employers to grow and hire again. Donald Trump has done and is doing that.
The estimates released today reflect the results of the annual update of the national income and product accounts (NIPAs) in conjunction with the “advance” estimate of GDP for the second quarter of 2017. The update covers the first quarter of 2014 through the first quarter of 2017. For more information, see information on the “2017 Annual Update” on BEA’s Web site. Additionally, the August Survey of Current Business will contain an article that describes the results in detail.
The acceleration in real GDP growth in the second quarter reflected a smaller decrease in private inventory investment, an acceleration in PCE, and an upturn in federal government spending. These movements were partly offset by a downturn in residential fixed investment and decelerations in exports and in nonresidential fixed investment.
Current-dollar GDP increased 3.6 percent, or $169.0 billion, in the second quarter to a level of $19,226.7 billion. In the first quarter, current-dollar GDP increased 3.3 percent (revised), or $152.2 billion (table 1 and table 3).