U.S. economy bogs down in first quarter with slowest growth in 3 years,

[Revmitchell]

The government’s official scorecard for the U.S. economy in the first quarter pointed to the weakest growth in three years, but the slowdown appeared tied to temporary effects that are likely to give way a rebound in the coming months.

Gross domestic product increased at a meager 0.7% annual pace in the first three months of the year, down from 2.1% and 3.5% in the back half of 2016. Economists polled by MarketWatch had forecast a 0.9% increase.

In early trading, the Dow Jones Industrial Average DJIA, -0.10% and the S&P 500 index SPX, -0.09% fell slightly

U.S. economy bogs down in first quarter with slowest growth in 3 years, GDP shows

 

[InTheLight]

It is disappointing but 1st quarters are usually lower growth quarters than the other three quarters. There's the spending hangover from Christmas which keeps consumers from spending money. I also read that the IRS was slow in issuing tax refunds which would hamper consumer spending.

I expect when the adjustment numbers come in it will move up a tick or two.

This lousy quarterly growth number simply underscores the need for tax cuts to happen to get the economy going strong.

 

[Crabtownboy]

It is disappointing but 1st quarters are usually lower growth quarters than the other three quarters. There's the spending hangover from Christmas which keeps consumers from spending money. I also read that the IRS was slow in issuing tax refunds which would hamper consumer spending.

I expect when the adjustment numbers come in it will move up a tick or two.

This lousy quarterly growth number simply underscores the need for tax cuts to happen to get the economy going strong.

It is the rich who are to get the tax break under Trump's proposal. I doubt they will spend much more, if any, than they are spending now. Now, if Trump were to hit the rich a bit and lower the taxes on the middle class spending much go up a whole lot.

 

[Yeshua1]

It is the rich who are to get the tax break under Trump's proposal. I doubt they will spend much more, if any, than they are spending now. Now, if Trump were to hit the rich a bit and lower the taxes on the middle class spending much go up a whole lot.

1/3 of americans pay no fed taxes annually, so those tax breaks actually are to encourage those with means to reinvest in America, as they drive the economy not those who pay no taxes!

 

[InTheLight]

It is the rich who are to get the tax break under Trump's proposal. I doubt they will spend much more, if any, than they are spending now. Now, if Trump were to hit the rich a bit and lower the taxes on the middle class spending much go up a whole lot.

The plan will lower the tax on some middle class income earners. We don't know the tax tables yet, so can't comment on how many people that will be. The rich should get a tax cut as well, but not 4.6%, as is being discussed.

 

[StefanM]

1/3 of americans pay no fed taxes annually, so those tax breaks actually are to encourage those with means to reinvest in America, as they drive the economy not those who pay no taxes!

If you give $500 to someone who doesn't pay taxes, he'll probably spend most of it.

If you give $500 to someone who is a billionaire, nothing will happen.

The former will have more effect on the economy.

I'm not saying that the rich don't play a role. They do. It's just that in terms of stimulus, your bigger bang for the buck comes down the economic ladder.

 

[Revmitchell]

If you give $500 to someone who doesn't pay taxes, he'll probably spend most of it.

If you give $500 to someone who is a billionaire, nothing will happen.

The former will have more effect on the economy.

I'm not saying that the rich don't play a role. They do. It's just that in terms of stimulus, your bigger bang for the buck comes down the economic ladder.

Why are we taking so much of the rich' money to begin with? This country was founded on small limited government and self governance.

 

[Yeshua1]

Why are we taking so much of the rich' money to begin with? This country was founded on small limited government and self governance.

That is the way of the Dems, as they see big govt as being best way! they basically see themselves as being benevolent dictatorships, providing all your needs, but asking for complete obedience to the cause!

 

[Reynolds]

The plan will lower the tax on some middle class income earners. We don't know the tax tables yet, so can't comment on how many people that will be. The rich should get a tax cut as well, but not 4.6%, as is being discussed.

The entire tax code needs to be abolished and completely redone. The tax should be flat and the deductions should be drastically tightened.

 

[church mouse guy]

On the issue of slow growth in the first quarter, the industry that I work in saw the slowest quarter ever. However, it is now in rebound and is very busy--in fact, too busy. Indiana would be more prosperous if the state government would cut state taxes. Indiana has a lot of low-paying jobs such as warehouse work and what is left of factories in the rust belt. Retail is shutting down.

Yes, the first quarter was bad.