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Wednesday, June 24, 2015

The Latest Government Lies About the Economy

The government tells us that First Quarter GDP contracted at “just” -0.2%, but in doing so they revealed their lies once again. The deflator used to convert nominal GDP to real GDP was just about zero. However, the much more accurate Billion Prices Project shows that inflation was running at about 1.6%, so the real GDP figure should have been reported as contracting by -1.8%.

It's clear that the economy is doing just fine—only if you believe the government lies they tell.