What Recovery? Revised Economic Numbers Show Startling Trend

The Obama administration has been notoriously optimistic in its economic projections throughout what officials have demanded is an economic recovery. Department of Commerce estimates at the end of this year’s first quarter, however, suggest bureaucrats are eager to report good news – even if it turns out to be unfounded.

The agency predicted in April that 2014 began with growth – albeit anemic – in the nation’s gross domestic product. Government experts at that time projected an economic expansion of 0.1 percent.

Since then, the estimate has been revised downward to a projected contraction of one percent. The latest numbers, however, confirm that the real rate at which the economy shrunk during the first quarter was three times that number.

The nearly three percent decrease marks the largest single-quarter reduction in GDP in five years. Furthermore, the disparity between the second and third estimate is greater than at any point in almost 40 years.

For comparison, the last quarter of 2013 saw economic growth of 2.6 percent.

Additional economic indicators during this period were similarly unfavorable. Consumer spending actually increased by about one percent; however, that rate represents less than one-third of the growth initially projected. Exports declined by nearly nine percent, about one-third more than estimates.

Officials have blamed the sluggish numbers on a cold winter and other environmental factors; however, many Obama critics contend this report is just further evidence that the current administration’s policies are disastrous to the U.S. economy.

This post originally appeared on Western Journalism – Informing And Equipping Americans Who Love Freedom

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