President Trump Accomplishes the Impossible: Reduces Debt to GDP Ratio by 1% His First Year in Office
Guest post by Joe Hoft
President Trump’s policies have decreased the Debt to GDP ratio by 1% while at the same time the Atlanta Fed announced yesterday that the 4th Quarter GDP estimates have increased by 0.2% to 3.4%.
Since his inauguration President Trump has focused his efforts on the security of the country and on the prosperity of its economy. The results of his actions are taking shape.
The US GDP has increased each quarter in 2017 with the 3rd Quarter GDP increasing to $19.496 trillion – the highest GDP for any country in world history.
On the other hand, the President has curtailed US spending. The result is that the US Debt to GDP ratio has decreased year to date from 105% to 104%.
No President in more than 50 year years has decreased the Debt to GDP ratio in his first year in office by more than 1%. The last President to do so was Nixon in 1969. Presidents Reagan and George W. Bush decreased the Debt to GDP ratio in their first years in office but by less than 1%. President Obama increased the Debt to GDP ratio his first year in office by 15% and by 37% over his eight years in office.
In related news the Atlanta Fed announced that the 4th Quarter US GDP estimates have increased from 3.2% to 3.4%. This increase in GDP would make the GDP increase for the year near 3%, something that hasn’t occurred in more than 10 years.