GDP Up But Economic Future Still Uncertain 
Friday, October 29, 2010 at 10:23AM
Staff in News/Commentary, economy, gdp

By Kyle LaFleur

The Gross Domestic Product rose slightly to two percent according to new third quarter numbers out Friday.  With November’s midterm election less than four days away and the economy being a hot button issue, the increase sent mixed feelings.

“Clearly these numbers are consistent with the story that it would be suicidal to let the Bush tax cuts expire or it would be very painful for the economy if the unemployment benefits aren’t extended during the lame duck session,” said American Enterprise Institute for Public Policy Research (AEI) scholar John Makin.

GDP reports come out midquarter which prompted Makin to warn the public about taking the number as set in stone.

“This report will probably be revised downward.  There is a tendency, there’s been a consistent tendency for the GDP initial prints to be higher then the final print.  Last quarter ended up at a 1.7 percent rate, started out at rate well over two percent,” said Makin.

Makin went on to predict that the fourth quarter GDP number would end up around one percent.

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