Apr 27, 2018

2018 Q1: Economy Grew At A 2.3 Percent Rate; Strongest 9-Month Growth In A Decade

Post by Freedom Partners

This morning, the U.S. Department of Commerce released its first estimate of gross domestic product (GDP) for the first quarter of 2018, announcing that the U.S. economy expanded at an annualized rate of 2.3 percent, beating economists projections and representing the fastest first quarter growth since 2015. Further, this quarter’s reading adds to the fastest nine-month stretch in over a decade, while real disposable personal income increased at the fastest rate since mid-2015.

Today’s release provides another look at how the economy changed during the first five quarters of the Trump administration. Overall, annualized quarterly growth averaged 2.5 percent during this time, and real after-tax income per person increased by $703. Further, the economy recorded its 16th quarter of consecutive growth.

More encouraging, after months of work by congressional leaders and members of the administration, President Donald Trump signed the Tax Cuts and Jobs Act into law late last year. This historic legislation is already spurring job creation, making businesses more competitive, and improving the lives of millions of Americans. To date, nearly 400 businesses have already announced plans to invest in the economy and give more money back to employees.

Below is a deeper look at the numbers from today’s report, what they say about the state of the U.S. economy during President Trump’s first five quarters.