Excerpt from my next newsletter that I am working on this morning:
On May 31, the Bureau of Economic Analysis said their second estimate of Q1-2012 GDP (Gross Domestic Product adjusted for inflation) growth increased at an annual rate of 1.9%. This was a downward revision of 0.3% from April's estimate of 2.2%. The estimates for prior quarters were unchanged.
The increase in real GDP in the first quarter primarily reflected positive contributions from personal consumption expenditures (PCE), exports, residential fixed investment, private inventory investment, and nonresidential fixed investment that were partly offset by negative contributions from federal government spending and state and local government spending. Imports, which are a subtraction in the calculation of GDP, increased.
You can read the full press release at Gross Domestic Product, 1st quarter 2012 (second estimate)
How bad would this be if we actually had a balanced budget today?
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