This article originally appeared on Fox Business on February 3, 2020.
For the third straight year, the strong and growing Trump economy has beaten the federal government’s own pre-election forecasts.
After just 36 months of President Trump’s leadership, with economic growth exceeding expectations, America’s real GDP is now more than a quarter of a trillion dollars higher than the experts anticipated. That’s more than $7 billion of extra economic activity every single month. No wonder unemployment is at a 50 year low and wages are rising.
Real GDP growth in the fourth quarter of 2019 was 2.1 percent, exceeding economists’ expectations of 1.9 percent quarterly growth and bringing our growth rate for the full year to 2.3 percent.
In 2016, the Federal Reserve’s Open Market Committee (FOMC) predicted that the economy would only expand by about 1.7 percent last year. The Congressional Budget Office (CBO) was even more pessimistic, forecasting growth of just 1.5 percent.
This is a phenomenal result — even better than it seems because an unforeseen global economic slowdown created a significant drag that government economists were not accounting for in 2016.
Other unanticipated issues negatively impacting GDP growth in 2019 included the problems at Boeing, a strike at General Motors, and the lingering impact of the Fed’s tighter monetary policy. Nonetheless, GDP growth again exceeded expectations.
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