Kevin Hassett "GDP indicator, a great Christmas gift for the American people"

JH Kim

Summary

Kevin Hassett emphasized the U.S. economy's solid momentum regarding the recently released GDP figures.
Hassett projected that if the GDP growth rate stays at 4%, the labor market will be stable.
He said the Fed's interest rate cuts are lagging market trends, and that productivity gains from AI are a driver of U.S. economic growth.

Kevin Hassett, chairman of the White House National Economic Council (NEC), positively evaluated the recently released gross domestic product (GDP) figures and emphasized the U.S. economy's solid momentum.

On the 23rd (local time), according to economic breaking news channel Walter Bloomberg, Hassett said, "This GDP figure is a great Christmas gift for the American people," adding that "the fundamentals across the economy are still strong."

He forecast that if the GDP growth rate remains at around 4%, the labor market could also maintain a stable trend. Hassett said, "If the growth rate stays in the 4% range, monthly job gains will return to the level of 100,000–150,000."

He expressed a critical view of the Federal Reserve's monetary policy. He said, "The U.S. Fed is still behind market trends in terms of interest rate cuts," and "policy responses need to be more proactive."

Hassett also mentioned the impact of artificial intelligence (AI) on the U.S. economy. He explained, "Productivity improvements from AI are clearly appearing across U.S. economic indicators," and "this productivity boom is becoming an important driver of medium- to long-term growth."