President Donald Trump’s economic adviser said American gross domestic product (GDP) may reach a growth rate of 4 percent or more.
He said the average 2 percent growth the country had experienced with few deviations since it started to recover from the 2008 crisis up until the second quarter of 2017 could still be called a “growth recession” and that only after the economy starts to hit higher numbers could it truly usher in a prosperous era.
“You’ve got kids, millennials ... who have never seen a full-fledged long-lasting prosperity,” Kudlow said. “It’s not that they’re cynics, they’ve just never seen it. We haven’t had one in 20 years.”
Kudlow noted the country still hasn’t experienced a capital investment boom since the recession before pointing to recently increased capital inflows.
“This is the hottest country right now in the world,” he said. “Trillions of dollars are coming here. It’s leaving Europe, it’s leaving China, it’s leaving a lot of places. We’ve never seen these kinds of inflows probably since the 1990s.”
“It is possible that the ‘real’ business growth cycle is right there in front of us for the next four, five, six years,” he said.