GDP growth in US

Real GDP increased 3.5 percent in 2005 where as in 2004 real GDP increased 4.2 percent.  The price index for gross domestic purchases increased 3.5 percent during 2005, 0.1 percentage point more than in the advance estimate.  During 2004, this index increased 3.4 percent.  GDP is expected to make a strong recovery in the current quarter. GDP has been improving that shows that our economy is growing, the numbers show improvements compared to last depression years. The rate of growth of GDP is not as high as compared to other developing nations like China, which has been able to manage a consistent GDP growth of around 10% for more than 2 decades. Countries like China may become far bigger than US based on the total GDP, if the rate of growth is not accelerated here in US. Based on the numbers I would say that GDP growth is not satisfactory even though it signals an improving US economy especially if we consider inflation also then the GDP growth was negative even in these years forget 2007.

 

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This post was written by techhair on July 8, 2008

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