– The Washington Times – Wednesday, August 30, 2017

The economy grew at the fastest pace in two years during the second quarter, the Commerce Department reported Wednesday, with stronger consumer spending contributing to President Trump’s goal of 3 percent growth.

The government revised the gross domestic product growth rate upward from the previously expected 2.7 percent. In addition to stronger household spending, the Commerce Department said there was a bigger gain in business investment.

The positive news comes on the same day that Mr. Trump is traveling to Missouri to promote tax reform and tax cuts, a key part of his economic plan to spur consistent growth of 3 percent or more annually.

The Commerce Department report said there was higher spending on wireless-phone services, used cars, and electricity and natural gas. Business spending rose on the strength of software, with investment in intellectual property increasing by 4.9 percent.

The revised numbers bring growth in the first six months of this year to 2.1 percent. Many economists expect growth in the current quarter to be hurt by the damage inflicted from Hurricane Harvey, which has hit oil refineries in Texas and caused billions in property losses.

Advertisement