Third-quarter GDP rises *To* 2%, better than expected

[TroyD]

Last edited Fri Oct 26, 2012, 09:44 AM - Edit history (1)

8:44AM EDT October 26. 2012 -

The nation's gross domestic product grew at an annual rate of 2% during the third quarter, the government said today, in one of the final pre-election looks at how the economy is recovering from the recession.

The results beat the 1.8% median forecast of 48 economists surveyed by USA TODAY, and indicate an economy that is moving slowly toward recovery, helped by an improving housing market.

Consumer spending, which has the biggest impact on economic growth, rose 2% last quarter after rising 1.5% in the second quarter. And investment in housing jumped 14.4% to help lead the way.

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More:

http://www.usatoday.com/story/money/business/2012/10/26/third-quarter-gdp/1657649/

[DemocratSinceBirth]

1. TY

On a scale of 1-10 for us I give a 2.0% GDP growth figure a 6.

Anything under 2.0 would have been disastrous.

Let's see how it plays out...

[FBaggins]

3. "Better than expected" can only help.

Not particularly healthy growth... And it's too late in the cycle to help much... But at least it doesn't hurt.

[DemocratSinceBirth]

4. That's Why I Gave It A 6

I would have given a 3 an 8 but according to the "experts" voters views of the economy are already baked in .


I remember praying for a bad 3rd quarter GDP in 1992 that would help Clinton, It didn't come and it didn't matter.

[FBaggins]

5. Exactly correct on all points. nt

[DemocratSinceBirth]

6. What If There Was Negative Growth? Or A Really Bad Number?

Do you think the talking heads bloviating about it for the next three days would have upset the conventional wisdom that voters views of the economy are already baked in?

I am sure they are relieved in Washington and Chicago.

[FBaggins]

9. I agree with the traditional view that economic perceptions are "baked in" much earlier in the year.

Having said that, a negative number would spark (legitimate) questions about whether or not we had entered a new recession.

7.8% vs. 8.1% unemployment isn't a particularly big deal, but recession vs. recovery would probably be a game-changer.

Luckily, that's not an issue.

[primaryblue]

2. should help...

[ItsTheMediaStupid]

7. It's like the Hippocratic oath, "First do no harm"

It may not help much, but it doesn't provide much for the bad guys to blab about either.

[Darth_ Deciduous]

8. IT did not rise 2%, it rose to 2%

That's .7% from Q2 to Q3.

The title in the OP is a little confusing.

[TroyD]

10. You're right in your explanation

I just copied the heading from the article since that's their title.