Yesterday’s Federal Reserve press conference was no surprise (read my previous article to understand the 4 part rope-a-dope circus).
However, Janet Yellen’s downward revision of GDP growth was insightful- the Fed is forecasting perpetual anemic growth.
Projected 2017 GDP growth is only 2.2%. That would be after intervention of well over $13 trillion (national debt & Fed balance sheet expansion) and nearly a decade of “recovery”.
How is such feeble growth even possible? [Post WWII US growth rate has averaged 3.27%.]
Let’s take a walk down memory lane…February 2013 the Congressional Budget Office stated their opinion of GDP growth: “CBO projects 3.4% in 2014 and an average of 3.6% a year from 2015 through 2018.” CBO whimsical forecasts stretch back to the depths of the 2008 recession.
I hate to state the obvious, but for those that haven’t yet noticed- the emperor has no clothes.
PS- On a related topic, don’t miss episode 96 of the Wealthsteading Podcast where we deconstruct a recent statement from Nobel Laureate Robert Shiller. This is a classic example of how the Elite’s solutions always become your problems.