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FBN’s Gerri Willis on the government’s misleading information on the state of the economy.
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Times I feel just a little bit like Alice in Wonderland.
When I look at government data for example on the economy lately nothing is as it scenes take today's GDP number the big Kahuna of economic numbers.
Big government says the economy expanded at 2% in the third quarter pre punk but better than the one point 9% that was expected.
You think that's good well until you realize the improvement is largely due to government spending take a look.
That's federal spending up nine and a half percent in the quarter you have to go back more than two years to -- that.
When federal non defense spending jumped sharply and back even further to the depths of the recession in the height of stimulus spending.
To see a similar gain that.
My friends is the trajectory.
We know what.
Smoke and mirrors government spending isn't the same thing as companies small and large expanding growing selling generating revenues.
Private sector revenues come from people willingly buying products.
Government spending is financed by compulsive -- -- levies taxes fines.
One definitely is better than the other -- a source of economic growth still -- the White House statement about today's report.
Alan Krueger said the economy is moving in the right direction.
Right direction.
Shame on you mr.
-- we have yet to open up the throttle on right direction the growth we have is puny.
If you excluded government spending for the quarter growth was the same dismal rate one point 3% -- -- in the second quarter.
Business investment in things like office buildings pipelines the big step.
That fell one point 3% the first drop since the first quarter of last year.
But I've gotten used to the sleight of hand yesterday I reported -- Californian this reporting.
Made weekly jobless claims look better than they really were earlier in the month.
And then there's the mysterious 873000.
Jobs that appeared in September the biggest increase in -- whole.
All thirty years just in time to drive down the jobless rate to seven point 8% -- month before the election.
Look I'm I'm no conspiracy theorist.
But as Alice said it is getting curiouser and curiouser.
As we delve deeper and deeper into these economic numbers.
And understand that we will continue to follow them for you.
