America's economy is doing much better than you think

What if we're measuring GDP all wrong?

Walking to work
(Image credit: Chris Hondros/Getty Images)

You could be forgiven for thinking that America's disappointing economic recovery is even worse than we thought.

After all, GDP growth, adjusted for inflation, increased at an annual average of just 2 percent over the past two years, according to revised government figures released Thursday. That's down from the prior 2.3 percent estimate, which itself was pretty lousy. And so far this year, growth has been even weaker, just a 1.5 percent pace.

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James Pethokoukis

James Pethokoukis is the DeWitt Wallace Fellow at the American Enterprise Institute where he runs the AEIdeas blog. He has also written for The New York Times, National Review, Commentary, The Weekly Standard, and other places.