"...the economy grew 3.9% in the third quarter, while inflation-dampening productivity rose a hefty 4.9%.
Despite fears of a recession, the U.S. economy has created 1.25 million nonfarm payroll jobs since the start of the year, and 8.4 million since President Bush's tax cuts were put in place in 2003.
GDP is up 18.5% since the start of Bush's presidency, or about $1.8 trillion, after accounting for inflation. That 2.6%-a-year growth includes a downturn in 2001, making it even more remarkable.
Last month, reports that the economy churned out 166,000 jobs and that joblessness remained at a below-average 4.7% brought mostly yawns from the media — even though it contradicts much of the gloom-and-doom spiel.
What about the fearful "twin deficits" of trade and the budget? Both shrinking. The government's budget deficit has now fallen to just 1.2% of GDP, a level most economists consider to be negligible in an economy nearly $14 trillion in size.
This year, exports have jumped 12%, while imports have gone up just 4.3% — good news related to the weak dollar that trade-worriers can't admit.
Another report released late last week by the Conference Board suggested Americans have become far better off than they think: Total U.S. discretionary income hit $1.7 trillion, or $9,148 for every man, woman and child.
The 73 million households that now have discretionary cash is up 28% from 57 million in 2002, belying the notion that it's "just the rich" who have benefited from the economic boom."
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