President Joe Biden speaks throughout an occasion on the financial system, from the South Court Auditorium of the Eisenhower Executive Office Building on the White House advanced, Monday, Oct. 23, 2023.
Jacquelyn Martin | AP
WASHINGTON — President Joe Biden cheered the new GDP report exhibiting robust financial progress in the third quarter and famous it was proof his insurance policies have been working to cut back inflation whereas stopping a recession.
Thursday’s Commerce Department report confirmed gross home product, the measure of all items and providers produced in the U.S., rose at a seasonally adjusted fee of 4.9% annualized, in the third quarter.
The quantity beat Wall Street expectations and marked the greatest quarterly GDP acquire since late 2021. Nearly half of the progress got here from client spending.
“I by no means believed we would wish a recession to convey inflation down – and at this time we noticed once more that the American economy continues to develop whilst inflation has come down,” Biden mentioned in an announcement about the new knowledge. “It is a testomony to the resilience of American customers and American staff, supported by Bidenomics.”
Thursday’s report was the newest knowledge level that signifies a powerful U.S. financial system, and got here as excellent news for the Biden administration, and for the president’s 2024 reelection marketing campaign.
The president for months has traveled the nation giving speeches on his financial agenda, dubbed “Bidenomics,” and the booming financial system. Yet polling reveals Americans general are nonetheless unsure that the financial system is really robust, and voters nonetheless favor Republicans on financial points.
An NBC News poll launched final month discovered the GOP benefit on the financial system to be the highest recorded in additional than three a long time of NBC News polling.
Nearly half, 49%, of the poll respondents mentioned Republicans do a greater job on the financial system, in comparison with 28% who mentioned Democrats do. The ballot had a margin of error of three.1 share factors.
Independent voters in the ballot favored Republicans’ dealing with of financial points by a putting determine, 25 share factors.
The ballot additionally discovered {that a} majority of voters disapproved of Biden’s financial observe file, 59% to 37% approving.
Meanwhile, economists for months have anxious that the Federal Reserve’s aggressive fee hikes to ease inflation would set off a recession.
Price will increase have been operating greater than the central financial institution’s 2% annual goal, but the fee of inflation has ebbed this summer season, falling to a few third of what it was a yr in the past.
For Biden, inflation has been a close to fixed problem, and one which he has sought to downplay in remarks about the financial system. Thursday was no exception.
“The unemployment fee has been beneath 4% for 20 months in a row, actual wages are up over the final yr, and median wealth for American households has grown by a file quantity, accounting for inflation,” he mentioned.