GDP plunged 25.6 percent from 1929-1932, including by 13.0 percent in 1932. It then soared by 10.8 percent, 8.9 percent and 12.0 percent, respectively, in 1934, 1935 and 1936. Real GDP surpassed its 1929 peak in 1936.
In contrast the very best Quarter of the 6+ years of the Obama Presidency recovery is less than 1/2 as good as just the average Quarter during the Great Depression recovery! For perspective 1934, 1935 and 1936 are considered part of the Great Depression. And the trade situation is much worse under Obama than during the Great Depression. Personal income, consumer spending, real private investment and jobs all reached or surpassed their 1929 peaks by late 1936. Compare that to the chart below of median income under Obama.
WASHINGTON (MarketWatch) — The economy contracted in the first quarter for the second straight year, a disappointing start that could foil the chance of the U.S. reaching 3% growth in 2015 for the first time in a decade.
Gross domestic product — the value of everything a nation produces — shrank by 0.7% annual rate from January to March, the Commerce Department said Friday. Last month the government originally had reported a tepid 0.2% increase in GDP.
The big markdown in the economy’s performance stemmed from a smaller inventory buildup and higher imports than preliminary data showed. Consumers, for their part, spent at moderate rate and businesses cut overall investment except in residential housing.
Three times rotten? A recovery hasn’t seen this many dips since the 1950s
WASHINGTON (MarketWatch) — The U.S. economy has fallen into negative territory three times since the current recovery began in mid-2009, a dubious feat that last occurred more than a half a century ago.
What’s to blame for the most up-and-down recovery since the mid-1950s?
Serious flaws in how gross domestic product is calculated is one prime suspect. The government’s GDP report appears to have underestimated growth in the first quarter for decades, a problem that has become even more acute. At the same time GDP probably has overstated growth in the second and third quarters, so the underlying U.S. growth rate is probably the same.
“The evidence of a seasonal quirk in the first-quarter GDP growth figures is pretty overwhelming,” said Paul Ashworth, chief U.S. economist at Capital Economics.