US economy shrank 1.4% at beginning of 2022, worst quarter in 2 years

Stringfellow Hawk said:
The U.S. economy cooled markedly in the first three months of the year, as snarled supply chains, record-high inflation and labor shortages weighed on growth and slowed the pandemic recovery.

Gross domestic product, the broadest measure of goods and services produced across the economy, shrank by 1.4% on an annualized basis in the three-month period from January through March, the Commerce Department said in its first reading of the data on Thursday.

"Today’s shock drop in GDP is a wake-up call that the economy isn’t as strong as we all thought," said Chris Zaccarelli, chief investment officer for Independent Advisor Alliance. "It’s possible that GDP gets revised higher next month, as this is just the first release and there will be two revisions, but it is a warning sign."

The headline figure often obscures the whole picture because the Commerce Department calculates the GDP on a quarter-over-quarter basis as if that level of growth were sustained for a full year; in times of huge swings up or down, it can exaggerate both the decline in growth and the subsequent rebound.

Looking at the quarterly data, the nation's GDP declined by about 0.3% from the fourth quarter to the first quarter, compared with an increase of 1.68% between the third and fourth quarter.

https://www.foxbusiness.com/economy/us-economic-growth-gdp-first-quarter
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Seems like when the government punishes success and rewards failure enough, failure is what this approach will produce.

Build Back Better is really taking hold.
 
evince said:
https://www.bloomberg.com/news/news...in-the-world-economy-mounting-recession-risks



Newsletter
How a Global Recession Becomes ‘Unavoidable’
ByChris Anstey+Follow
March 23, 2022, 4:00 AM PDT
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Rewriting the Outlook
Weeks after Russia began its full-scale invasion of Ukraine, economists are taking another look at their initial back-of-the-envelope assessments of the impact on the global economy.

International Monetary Fund Managing Director Kristalina Georgieva on Tuesday advised the fund will cut its 4.4% global forecast for 2022 when it releases its fresh outlook next month.

Those with strong post-pandemic rebounds should be resilient — Georgieva singled out the U.S. as having “fairly strong fundamentals,” while weaker economies will suffer a “big shock” from the turmoil in markets, she said. The fund is fretting about 60% of low-income countries in or near “debt distress.”

The glass-half-full takeaway from the IMF: the global economy should at least still see an expansion.

A bleaker conclusion came from two senior economists at the Federal Reserve Bank of Dallas, who warned Tuesday the world could be in for a recession longer than the one in 1991 caused by the oil shock following Iraq’s invasion of Kuwait.
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The actual facts
 
Earl said:
The working definition of a recession is two consecutive quarters of negative economic growth as measured by a country's gross domestic product (GDP)'

Just one more and a recession is extant...thanks Biden.
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And for the 2nd time in history we have stagflation ! Yet another feat of economic incompetence from the jackass party
 
archives said:
And after quarters of economic growth goes unrecognized by the right suddenly the first downturn is all they can mention
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Remember when trump would take credit for Obama's economy? Suddenly the Right isn't interested in daily reporting on good economic news.
 
Code1211 said:
Seems like when the government punishes success and rewards failure enough, failure is what this approach will produce.

Build Back Better is really taking hold.
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LMAO

'Success'. The Fed giving billions to corporations who take the money and increase dividends/CEO pay, and do share buybacks.

Why should the taxpayer hand out welfare to corporations?
 
Althea said:
LMAO

'Success'. The Fed giving billions to corporations who take the money and increase dividends/CEO pay, and do share buybacks.

Why should the taxpayer hand out welfare to corporations?
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why didnt Obama stop that when QE was no longer needed ?
I mean besides the fact that Wall Street said that he had better not do any such thing.
 
Celticguy said:
why didnt Obama stop that when QE was no longer needed ?
I mean besides the fact that Wall Street said that he had better not do any such thing.
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Under QE, the Fed bought up MB products to keep the banks liquid in order to keep stimulating the real estate market.

That's very different than giving money to corporations who don't need it.
 
Althea said:
Under QE, the Fed bought up MB products to keep the banks liquid in order to keep stimulating the real estate market.

That's very different than giving money to corporations who don't need it.
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its exactly the same when you continue doing it after the emergency is met.
 
Celticguy said:
its exactly the same when you continue doing it after the emergency is met.
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I didn't agree with any of the QEs, but we're still talking apples/hand grenades.

Corporations reaped record profits during Covid. They didn't need free money from the Fed.
 
Althea said:
I didn't agree with any of the QEs, but we're still talking apples/hand grenades.

Corporations reaped record profits during Covid. They didn't need free money from the Fed.
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you were clearly not paying attention to what the Fed was really doing. Its ok, most didnt.
 
Stringfellow Hawk said:
The U.S. economy cooled markedly in the first three months of the year, as snarled supply chains, record-high inflation and labor shortages weighed on growth and slowed the pandemic recovery.

Gross domestic product, the broadest measure of goods and services produced across the economy, shrank by 1.4% on an annualized basis in the three-month period from January through March, the Commerce Department said in its first reading of the data on Thursday.

"Today’s shock drop in GDP is a wake-up call that the economy isn’t as strong as we all thought," said Chris Zaccarelli, chief investment officer for Independent Advisor Alliance. "It’s possible that GDP gets revised higher next month, as this is just the first release and there will be two revisions, but it is a warning sign."

The headline figure often obscures the whole picture because the Commerce Department calculates the GDP on a quarter-over-quarter basis as if that level of growth were sustained for a full year; in times of huge swings up or down, it can exaggerate both the decline in growth and the subsequent rebound.

Looking at the quarterly data, the nation's GDP declined by about 0.3% from the fourth quarter to the first quarter, compared with an increase of 1.68% between the third and fourth quarter.

https://www.foxbusiness.com/economy/us-economic-growth-gdp-first-quarter
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You as a typical petty and desperate troll relying of Faux entertainment bs to demonstrate how much of a uninformed miscreant you are. Consider some facts:

The Biden Boom: Economic Recovery in 2021
President Joe Biden took office one year ago amid one of the worst economies in generations, but the U.S. economy has since made tremendous progress toward recovery, and workers are benefiting.

January 20 marks one year since President Joe Biden took office: It’s time to take stock of the historic economic boom under his leadership.

Though the United States faces serious economic challenges amid the ongoing global pandemic, 2021 was an extraordinary year of economic growth and recovery. The country saw record job gains and an unprecedented drop in unemployment. The economy likely grew faster than in any year since 1984, as measured by real gross domestic product (GDP). In 2021, the economy not only regained all pandemic-related GDP losses—it also surpassed pre-pandemic levels. Despite elevated inflation, Americans’ disposable incomes were higher in 2021 in real (inflation-adjusted) terms than they were in 2019 and 2020. Additionally, by many important measures such as savings and bank balances, Americans are more financially secure. The United States also made dramatic progress in lowering its exceptionally high rate of child poverty."
https://www.americanprogress.org/article/the-biden-boom-economic-recovery-in-2021/

Trump Has Failed the American Economy

Trump’s unwillingness to contain the COVID-19 pandemic constitutes one of the most catastrophic failures of leadership in our nation’s history. His brazen lies about the virus’ lethality and spread, shameful efforts to hide critical information from the American people and slander public health experts, and his reprehensible convenings of his very own superspreader events across the country collectively illustrate the degree to which he has abdicated responsibility for our nation’s safety and security. President Trump’s refusal to develop a national strategy to defeat – let alone contain – the virus has resulted in thousands of avoidable deaths and the most severe economic crisis in a generation."

https://budget.house.gov/publications/report/president-trump-has-failed-american-economy

The Trump administration was ruining the pre-COVID-19 economy too, just more slowly

Key takeaways:
Long before the COVID-19 pandemic the Trump administration was squandering the pockets of strength in the American economy it had inherited.
Broad-based prosperity requires strength on the supply, demand, and distributive sides of the economy, and Trump administration policies were either weak or outright damaging on these fronts.
Demand: Most of the Trump tax cuts went to already-rich corporations and households, who tend to save rather than spend most of any extra dollar they’re given.
Supply: Business investment plummeted under the Trump administration, despite their lavishing tax cuts on corporate business.
Distribution: The Trump administration undercut labor standards and rules that can buttress workers’ bargaining power."
https://www.epi.org/blog/the-trump-...pre-covid-19-19-economy-too-just-more-slowly/
 
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