Tonight’s question, greetings, and banter here. (More)
Today the Commerce Department reported a slight drop in GDP during the 4th Quarter of 2012. The White House said attributed the contraction to a 22% reduction in defense spending – partly due to the looming budget sequester threat – and the effects of Hurricane Sandy. Bank of America senior economist Michael Hansen said “The underlying details of the report, by and large, are consistent with an economy that is growing probably at a trend basis of about two percent.” Should we treat first estimate economic reports like election-season polls?