Economic GDP GROWS 4.1%... Oh wait, they made that up

[Broncojohnny]

I dind't realize that the "incredible" number the other day was using this new calculation. So basically that number was total horseshit.

[slow99]

I dind't realize that the "incredible" number the other day was using this new calculation. So basically that number was total horseshit.

From everything I saw it was included. The change in methodology was applied to the previous period, the jump isn't from that change. This is directly from the BEA on the previous period's report:


"Expenditures by business, government, and nonprofit institutions serving households (NPISH)
for research and development (R&D) are recognized as fixed investment. The new treatment
improves BEA’s measures of fixed investment and allows users to better measure the effects of
innovation and intangible assets on the economy."


Now, somewhat concerning, is that 40% of Q3 growth was attributable to inventory build. October inventories maintained though, so there's a chance it isn't as big of a red flag.

[Trip McNeely]

ABC GDP, The East Coast Family...

[jyro]

http://www.bea.gov/agency/pdf/BEA_Customer_Guide.pdf

I've read books a lot smaller.

[Denny]

So, are new calculations going to effect the adjustment in inflation as well?

[jyro]

faster and faster toward "The Matrix"