The annual Economic Report of the President was released Thursday, a massive 435-page compilation of government economic statistics. Here’s the entire thing in PDF form, if you’d like a little weekend light reading:
If you’d prefer a bottom-line summary, try this: This economy is hotter than Satan’s steam bath. And no, former President Obama, you did not build that.
Obama and many Democrats are trying to claim that Trump merely inherited a booming Obama economy, which makes me concerned that they might be suffering short term memory loss. The Obama Administration ended just three years ago. Most of us remember it quite well. Remember when economists used to be surprised by monthly jobs reports because they were LESS than predicted rather than MORE than predicted? That was the Obama years in a nutshell. Hope, but no change.
The White House is going all-out to crush that narrative, and using the numbers in the new report as a sledge hammer...
They quote a number of stats to argue that there has clearly been a major upswing from the end of the Obama years, when many economists were warning we were overdue for a recession (the previous one officially ended in June 2009, but many Americans hardly noticed for years; and when they complained about stagnant pay, anemic job creation and low growth, they were told it was the “new normal,” manufacturing jobs weren’t coming back, and to get used to it.) Here are five facts from the new report that show the Trump economy is outpacing Obama’s far beyond what the “experts” predicted:
“Real GDP is 1.4 percent—or $260 billion—higher than projected…Real wage and salary compensation per household is roughly $2,300 higher than projected…Total non-farm payroll employment is 5 million higher than projected…The unemployment rate is 1.4 percentage points below projections…The labor force participation rate is 1.5 percentage points above projections.” That last figure means many people who gave up looking for a job under Obama are now back at work, which also helps reduce the need for government assistance such as food stamps.
It also notes that there were “turnarounds or improvements in the pre-election trends for homeownership, prime-age labor force participation, manufacturing employment, labor productivity, and net wealth for the bottom half of American households.” That's right, despite what you keep hearing from Bizarro World (i.e., the Democratic debates), this economy is working for the poor and middle class.
Again, in short: the report confirms that areas that were trending downward or incrementally improving under Obama all took off like a rocket after Trump took office. There are a lot of charts and graphs in the report, but if you want to summarize them all, imagine a chart showing the acceleration of a powerful speed boat with its motor going full throttle. Trump’s Inauguration would mark the point at which someone cut the rope tying the boat to the dock.