A key metric that measures the health of the economy massively underperformed most analysts’ expectations on Thursday, underlying the fact that the Biden economy is not doing nearly as well as its Democrat boosters claim.
As The Daily Wire reports:
The American economy missed second-quarter GDP growth projections by a significant margin.
According to data released by the Department of Commerce on Thursday, the annualized GDP growth rate rose to 6.5% between April and June of this year. Although improving from 6.3% in the first quarter of 2021, the metric fell short of the 8.4% Dow Jones estimate.
Although consumer spending was a primary driver of economic growth, real disposable personal income — personal income adjusted for inflation and taxes — fell by 30.6% in the second quarter after a 57.6% increase in the first quarter.
A similar report from the Bureau of Labor Statistics revealed that average hourly earnings in the United States increased from $29.35 in June 2020 to $30.40 in June 2021 — a 3.6% increase. When factoring in inflation through the Consumer Price Index, which has risen by 5.3% since June 2020, real average hourly earnings have fallen by 1.7% over the past year — despite the robust economic recovery from COVID-19 and the lockdown-induced recession.
If these are the numbers being produced at the height of the summer reopening, what will things look like when the winter arrives?