This is the puzzle economists are now trying to reconcile. In a typical recovery, strong GDP growth shows up first in hiring, then in paychecks, and finally in consumer spending. But in this quarter, it’s reversed: spending is here without jobs. So how does an economy grow at a 4.3% annual rate when households aren’t actually earning more, and in fact, still fighting sticky inflation?
“I’ve never seen anything like it,” KPMG’s chief economist Diane Swonk told Fortune. “To have this stagflation in the inflation and unemployment rate, and to not have it in growth is highly unusual, and something’s got to give.”
urban_mystic_hippie on
The Trump admin is cooking the books on economic data
LapsedVerneGagKnee on
It’s what happens when the 1% has enough cash to make the number go up without it helping anyone else.
herrcollin on
Call me crazy but I think you need more than, like, 3-4 months to call something an era. We call that a „season“.
ConundrumMachine on
*the era of an economy based entirely on speculation is here
jswitty on
Audit the data if there’s even anyone left to do it
aquagardener on
K shaped economy. Profits for the highest earners, worse and worse conditions for everyone else.
Cryogenx37 on
And this is why people also don’t want to have children. It was already difficult enough to find, apply, interview for jobs, and actually land a role. So imagine 20 years from now when small children today have to go into the workforce
CurryNarwhal on
I guess avocado toast is holding up the economy huh
TehMephs on
Well that’s explains why they’re so gung ho for technofascism I guess. Don’t need the stinking poors no more
Zyrinj on
Health of the US economy doesn’t care about non shareholders. Gen Z being too young to build any equity means they’re even more of an afterthought when it comes to how their economic health tracks with US economic health.
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This is the puzzle economists are now trying to reconcile. In a typical recovery, strong GDP growth shows up first in hiring, then in paychecks, and finally in consumer spending. But in this quarter, it’s reversed: spending is here without jobs. So how does an economy grow at a 4.3% annual rate when households aren’t actually earning more, and in fact, still fighting sticky inflation?
“I’ve never seen anything like it,” KPMG’s chief economist Diane Swonk told Fortune. “To have this stagflation in the inflation and unemployment rate, and to not have it in growth is highly unusual, and something’s got to give.”
The Trump admin is cooking the books on economic data
It’s what happens when the 1% has enough cash to make the number go up without it helping anyone else.
Call me crazy but I think you need more than, like, 3-4 months to call something an era. We call that a „season“.
*the era of an economy based entirely on speculation is here
Audit the data if there’s even anyone left to do it
K shaped economy. Profits for the highest earners, worse and worse conditions for everyone else.
And this is why people also don’t want to have children. It was already difficult enough to find, apply, interview for jobs, and actually land a role. So imagine 20 years from now when small children today have to go into the workforce
I guess avocado toast is holding up the economy huh
Well that’s explains why they’re so gung ho for technofascism I guess. Don’t need the stinking poors no more
Health of the US economy doesn’t care about non shareholders. Gen Z being too young to build any equity means they’re even more of an afterthought when it comes to how their economic health tracks with US economic health.