(KUNA) -- Commenting on data showing the U.S. gross domestic product (GDP) grew at 2 percent in the third quarter, Austan Goolsbee, chairman of the President's Council of Economic Advisers, on Friday said considerable work remains before the U.S. economy fully recovers.
While the GDP data marked the fifth straight quarter of positive growth, and the U.S. economy continues to recover from the deepest recession since World War II, "faster growth is needed to bring down the unemployment rate more quickly," Goolsbee said. Some key components of GDP continued to expand in the third quarter, he noted.
Consumer expenditures on goods and services rose at an annual rate of 2.6 percent, up slightly from the second quarter, while fixed investment (nonresidential structures, equipment and software, and housing investments) grew at an annual rate of 0.8 percent.
Business investment in equipment and software increased by 12 percent, the fourth consecutive quarter of "solid growth," indicating continued expansion of investments by private firms, Goolsbee said. Inventory investment contributed 1.4 percentage points to GDP growth, slightly less than the average in the last four quarters, while residential investment declined.
"Given the depth and severity of the recession, considerable work remains before our economy is fully recovered," Goolsbee said. "Therefore, it is essential that we take the additional targeted actions that the President has recommended to further stimulate growth and job creation, such as extending tax cuts for the middle class, investing in our infrastructure, providing tax incentives to encourage businesses to invest here at home, and promoting exports abroad."
Posted by: Fred ||
10/30/2010 00:00 ||
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#1
And the first order of business is to get rid of the President's Council of Economic Advisers.
Next get rid of the DemoCRAPS in congress. (And send more than a few of them to the big-house.)
Then get the government out of the freaking way. First step to do that is to completely defund the EPA until the only one left is the Janitor.
#2
On the other hand, a Nobel-prize winning economist recently wrote; "This is going to be terrible. In fact, future historians will probably look back at the 2010 election as a catastrophe for America, one that condemned the nation to years of political chaos and economic weakness." Actually we are in the 3rd year of an ongoing catastrophe of political chaos & economic weakness.
(KUNA) -- With the U.S. midterm elections only four days away -- and the top issue being jobs and the economy -- President Barack B.O. Obama on Friday touted the month-old Small Business Jobs Act, which has supported nearly 3 billion dollars in new loans to more than 5,000 small businesses in America.
In remarks after touring Stromberg Metal Works in nearby Beltsville, Maryland, the President said he expects the legislation he signed into law to help support tens of billions of dollars in loans to U.S. entrepreneurs so they can expand and hire new workers.
The initiative also accelerated 55 billion dollars in new tax relief for businesses that make job-creating investments over the next year, including by extending a provision in the Recovery Act called business expensing, or bonus depreciation, Obama said.
"What I want to do to accelerate this recovery is to allow businesses of all sizes to immediately deduct the entire cost of these investments -- 100 percent -- all next year, through the end of 2011," he said. Business owners who decide to upgrade their plants and equipment would be able to write off immediately that depreciation in one year, "and that means that they are going to have additional money to invest in workers and in other plants and equipment," he added.
Under the proposal, a business such as Stromberg would be able to deduct 1 million dollars next year, Obama said.
"That accelerates hundreds of thousands of dollars in tax cuts -- real money that business can use to expand or hire new workers," he said.
A new report from the U.S. Treasury Department estimated that the plan will accelerate 150 billion dollars in tax cuts for 2 million businesses, large and small, around the country, the President noted.
"It would temporarily lower the average cost of investment by more than 75 percent for companies like Stromberg, creating a powerful new incentive for businesses to invest more right now -- perhaps about 50 billion dollars -- which will generate more jobs and more growth," he said.
Looking beyond the elections on Tuesday, in which the Republican Party is expected to recapture the U.S. House of Representatives from the Democratic Party of Obama, the President said, "Political season is going to be over soon, and when it ends, all of us are going to have a responsibility, Democrats and Republicans, to work together wherever we can to promote jobs and growth".
Posted by: Fred ||
10/30/2010 00:00 ||
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#1
Does wondering who would actually receive these funds makes me a racist?
#2
The SBJA is a crock... I know (directly) of several businesses that have gotten them. They are buying short-term bonds and taking the 'free' interest money- NOT hiring more people. No one is expanding their business in the face of the regime uncertainty which our socialist President thrives on.
#10
a freind of m ine got one for a pizza resturant he opened. the bank loaned him all he needed for construction and remodeling and he go 50k from the gov. loan program, he was psyched and he was surprised, as he is a good republican white norwegian descent American.
A multi-volume chronology and reference guide set detailing three years of the Mexican Drug War between 2010 and 2012.
Rantburg.com and borderlandbeat.com correspondent and author Chris Covert presents his first non-fiction work detailing
the drug and gang related violence in Mexico.
Chris gives us Mexican press dispatches of drug and gang war violence
over three years, presented in a multi volume set intended to chronicle the death, violence and mayhem which has
dominated Mexico for six years.
Rantburg was assembled from recycled algorithms in the United States of America. No
trees were destroyed in the production of this weblog. We did hurt some, though. Sorry.
(KUNA) -- Commenting on data showing the U.S. gross domestic product (GDP) grew at 2 percent in the third quarter, Austan Goolsbee, chairman of the President's Council of Economic Advisers, on Friday said considerable work remains before the U.S. economy fully recovers.
