US growth revised down for third quarter

[eppur_se_muova]

Source: BBC

The US economy grew at a slower pace than previously estimated in the three months to the end of September.

Revised figures from the US Commerce Department show gross domestic product grew at an annual pace of 2% in the period, down from the previous estimate of 2.5%.

Despite the downward revision, the quarter's growth was still up from the April-June period's 1.3% figure.

The revision was largely due a prior over-estimate of restocking by firms.



Read more: http://www.bbc.co.uk/news/business-15839219

[OhioChick]

1. "slower pace than previously estimated"

Who would've thought?

[Yo_Mama]

2. Yep - and despite the poor inventory growth (almost none)

It turns out that US businesses basically just kept pace with final sales, so there isn't any big payoff coming in the form of increased growth in the next two quarters:
http://www.census.gov/mtis/www/data/pdf/mtis_current.pdf

This takes Q3 2010 to Q3 2011 growth in Gross Private Domestic Investment to almost nothing - less than 1/1 of 1 percent, and Gross Private Domestic Investment is the primary growth driver for the US economy.

[Response]

3. In other news this Christmas holiday season will be an all time

sale record *breaker.

*Corrected sales figures to come two months after holiday period ends. See page 15B (lower right beneath obituaries) for details.

[alp227]

4. BUT...according to the one-term president crowd more cuts will lead to growth!

Let's see how that worked out in Greece or other EU countries.