Investment Stagnates as a Share of GDP

October 30, 2019

Sarah Rawlins

October 30, 2019

A major factor slowing growth in the quarter was a 3.0 percent decline in nonresidential investment. This is the second consecutive quarter of declining investment, which is now up just 1.3 percent over the last year. The ostensible rationale for the corporate tax cut was that it would lead to a boom in investment. This clearly is not happening, as investment has actually been declining as a share of GDP over the last year. For more, see the latest GDP Byte.

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