The Discrepancy Between GDP and GD! Is Ongoing and Massive. That Should Bear Attention

The BEA revised third-quarter GDP growth from 4.9% to 5.2%, but the Gross Domestic Income (GDI) stands at only 1.5%, highlighting a significant discrepancy. This difference raises questions about the economy’s strength, as GDI often receives less attention. Despite higher GDP figures, the lower GDI suggests potential economic weakness, possibly nearing recession. This contrasts with the more optimistic public perception of the economy based on GDP growth alone.