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Political News
Mixed Reactions From Washington On GDP Growth
10/29/2009 12:05 PM ET
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(RTTNews) -  In the wake of GDP numbers showing that the US economy expanded at a 3.5% annual pace for the third quarter, various government officials chimed in on what the numbers mean for the economic recovery.

The 3.5% growth for the economy was the first time the GDP showed growth since the second quarter of 2008. The economy grew at its fastest pace since the third quarter of 2007, when the GDP showed a positive 3.6% number.

In a statement, the White House attributed the positive number to the American Recovery and Reinvestment Act of 2009.

"Analysis by both the Council of Economic Advisers and a wide range of private and public-sector forecasters indicates that the American Recovery and Reinvestment Act of 2009 contributed between 3 and 4 percentage points to real GDP growth in the third quarter," the White House said.

"This suggests that in the absence of the Recovery Act, real GDP would have risen little, if at all, this past quarter."

The White House called the positive GDP "an encouraging sign that the US economy is moving in the right direction."

However, the White House added, the number is "just another step, and we still have a long road to travel until the economy is fully recovered."
House Republican Leader John Boehner, meanwhile, said that while any positive number for the economy is welcome, "a jobless recovery is not what the American people were promised."

"President (Barack) Obama and his economic team said the trillion-dollar 'stimulus' would create jobs immediately and keep the unemployment rate below eight percent," Boehner argued.

"Since then, roughly three million jobs have been lost and unemployment has risen to near 10 percent."

Boehner added, "For millions of out-of-work families struggling to make ends meet, this recession feels far from over."

Senate Minority Leader Mitch McConnell (R-KY) said that it is "always encouraging to see signs that the economy is improving."

"This is further testament that the drive, determination and resilience of Americans across the country are the keys to our economic recovery."

by RTT Staff Writer

For comments and feedback: contact editorial@rttnews.com



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