The economic analysis from the Bureau in United States has released their first estimate for the quarter of December and it reveals that the economy has grown at a level of 2.1%. For the year 2019, the growth in GDP had been 2.3% and this had been down from the level of 2.9% in the year 2018 as this was only below 2.4% in the year 2017 which also Trump’s first year as President.
In the quarters ever since when Trump has been President, it has happened only four times that the growth of the GDP has been more than 3% and has been lower than 2.3% on six different occasions. For the last three quarters, the growth in GDP has been very low as well not exceeding 2.1% and this is a long way away from the claim of Trump that the economy was going to grow at a level of 4% or 5% or even more in his reign.
Under Donald Trump, the investment in business has turned into negative in the last three quarters and has been flat essentially with the impact of the changes in inventory having been taken into account. The only segment which has been positive in the last few quarters has been the Intellectual Property division.
Even the spending of consumers has slowed considerably in the last quarter and it has gone down from a level of 4.6% to a rate of 3.6% to a further low rate of 1.8% in the final quarter. Inventories and Trade are the major segments which are going to swing the pendulum of GDP widely in the calculation and the government is not having the desired effect on both.
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