Press Release

Gutierrez Says GDP Report Shows Twenty Straight Quarters of Growth and Strong Fundamentals

CINCINNATI—Commerce Secretary Carlos M. Gutierrez today released the following statement on the advance third quarter real gross domestic product (GDP) report, which showed that the American economy grew at an annual rate of 1.6 percent in the third quarter of 2006:

"As expected, today's GDP report showed a more moderate rate of growth last quarter, after blistering growth in the first half of the year.

"Although there was a correction in housing, which we expected, the economic fundamentals are strong. America’s economic foundation is strong and resilient. We have now had 20 straight quarters of uninterrupted economic growth. Since August 2003, more than an estimated 6.6 million jobs have been created – more jobs than all the other major industrialized countries combined. Energy prices are going down, and wages and consumer sentiment are going up.

"Economic growth was faster than expected in the first half of the year, and with President Bush’s policies we expect to see continued growth for all of 2006. The third quarter reflects changes in the housing market, but it is likely to be temporary and it does not change the overall economic picture.

"America is well-positioned for solid performance next year because we have created the right conditions for a strong economy with President Bush’s policies. More Americans are working than ever before, more Americans from all walks of life own their own homes, and more Americans are earning college degrees. We will continue to create jobs and opportunities for Americans as long as we maintain pro-growth policies that keep taxes low and our export markets open."