The Breakdown - President tweets about economy
Did the president get his facts straight on our economy? Anchor Kaitlin Monte breaks down controversy over his tweet about seeing some of the best economic stats in a century.
To start, a quick brush-up. GDP stands for gross domestic product – a measure of how our economy's doing. You take consumer spending, plus government spending, plus the nation's investments, plus all our net exports. When that number is a positive number, that's good.
The president tweeted “The GDP Rate (4.2%) is higher than the Unemployment Rate (3.9%) for the first time in over 100 years!” That means that only about 4 in every 100 working-age Americans are searching for a job. And yes, he is correct on those two numbers, but he goes on to say it's the first time that GDP has been higher than unemployment in 100 years. Since 1948, that has happened 63 times during various economic quarters.
While we're talking sharing numbers about the economy, when it comes to Americans working part-time because their hours were cut or they couldn't find a full-time gig, that number is now at 4.4 million. That’s the lowest its been since October 2007, before the recession hit.
As for who long people are going unemployed nowadays, the average is about 23 weeks. It was 40 weeks back in 2011.
So while these numbers suggest good things happening with the economy, people are debating who deserves the credit.