Gross Domestic Income Shows America Is in Stagnation

Commentary In a recent CNN poll, 48 percent of respondents stated that they believe the economy remains in a downturn, and only 35 percent said that things in the country today are going well. The disparity between somber economic sentiment and a surprisingly strong headline unemployment rate and gross domestic product (GDP) can be easily explained. The divergence between headline GDP and gross domestic income (GDI) is staggering. While GDP suggests a strong economy, GDI reveals a stagnant economy. Both measures used to follow a similar pattern, but this changed drastically in 2023. While GDP rose 2.5 percent in 2023, GDI only bounced 0.5 percent, effectively signaling economic stagnation....