Courtesy of Mish.
Yesterday the BEA released its Third Estimate for Second Quarter GDP.
The third (final) estimate bumped up the prior estimate from 1.1% to 1.4%. The BEA changed the name from final to third because GDP is subject to revisions years or even decades later.
Diving into the report we see “Real Gross Domestic Income ” GDI went from +0.2% to -0.2%. Is that significant? Let’s take a look.
Third Estimate of Second Quarter GDP
DI and GDP are two measures of the same thing. Over time they equal. Since the data sources are different, they frequently diverge for a while.
Business Insider has a nice article that explains the difference: FORGET GDP: Here’s the new way Wall Street is measuring the US economy.
Note: The following snips are from May 30, 2015. The generalities are correct, the assessments as to what are happening now are incorrect.
