Trump is ecstatic that gross domestic product grew 3% last quarter, but we believe it’s a false positive for the majority of everyday people for multiple reasons that he and his marketing machine are not sharing. Here is a breakdown of what is included in the GDP and why the numbers aren’t what they appear to be:

Consumer Spending: Things people buy for personal use — food, clothing, rent, medical care, entertainment, etc.

Yes, people spent more money last quarter but only because of ongoing inflation, rent increases, medical bills, and other expenditures, many of which were put on credit cards, since consumer debt also increased last quarter.

Business Investment: Money businesses spend on equipment, buildings, software, inventory, etc.

It’s true that business investments are off the charts under Trump, but the vast majority are related to massive AI, data infrastructure, and energy projects to develop technologies that will actually be replacing human jobs and driving hundreds of thousands of companies out of business.

As a matter of fact, the companies performing the very best on Wall Street are energy, technology, and industrialization: three things that will actually deteriorate our quality of life, not improve it.

Furthermore, when Trump announced tariffs, companies imported double the goods they usually do out of fear. Once that inventory dries up, they will have to import at higher prices, and those prices will no doubt be passed on to all of us.

And finally, American companies have LOST $150 billion paying Trump tariffs. Many people mistakenly believe that foreign countries pay tariffs, but that is not true. American companies pay the tariffs. They of course cannot absorb these costs and will pass them all on to us. They are right now shrinking their product sizes, laying off workers, downsizing, and making other moves to survive and recoup their tariff losses, which are only going to pile higher and higher.

Government Spending:
Salaries of government workers, defense, infrastructure, public services.

Government spending is rarely a good thing, and under Trump, government spending is off the charts, despite alleged government downsizing due to the efforts of “doge.”

Here’s a disturbing statistic: The Treasury Department just stated that federal spending from January through June 2025 reached approximately $3.6 trillion, which is $142 billion more than the same period in 2024. Trump is on track to outspend Biden, and he’s just getting warmed up.

Bottom line: short term 3% domestic product increase seems like good news, but when you really dig into it, you find it’s not really good news at all, at least for the vast majority of we the people peasant class.

One more thing, the real barometer of the economy is still falling..

MJ