From Bill Freeman

I was pleased to read a recent report from The New York Times noting that consumer spending is soaring, and that the U.S. economy witnessed incredible growth in the third quarter of 2023. The piece referenced the Commerce Department’s October report, which revealed that the gross domestic product grew at a 4.9 percent annualized rate from July through September, significantly exceeding expectations and making it the most robust growth spurt since late 2021. This developing situation with the GDP was fueled by increased consumer spending. 

Consumer spending is the driving force behind a thriving economy, and the surge we are currently experiencing is evidence of our nation’s resilience. Though COVID-19 is currently not as scary or out-of-control as it was two years ago, repercussions of the pandemic still have an impact on how people spend their money. Confident consumers are more likely to spend, thereby stimulating local businesses, creating jobs and fueling economic growth. The fact that we are seeing this surge is a good sign.

Nashville, a city heavily reliant on tourism, is particularly benefiting from the surge, with hotels fully booked, the music scene buzzing and restaurants thriving. As reported last month by Nate Rau of Axios, in October 2022, Nashville reached a milestone when it eclipsed 900,000 hotel room bookings for the first time in a single month. There were 938,962 hotel rooms sold. However, as Rau wrote, “The record may not stand for long, as the forecast is for 967,736 bookings this month,” according to data from the Nashville Convention & Visitors Corp. This shows that consumers are feeling comfortable once again, spending on trips, vacations, dining out and more. 

President Biden and his administration deserve recognition for their pivotal role in facilitating this remarkable economic growth. Their focus on supporting working families, increasing investments in infrastructure and promoting sustainability has created the foundation for this impressive economic turnaround. The administration’s tax policies have put more money in the pockets of hardworking Americans, encouraging consumer spending.

What’s truly extraordinary: This economic resurgence defied expectations. 

Many were predicting a recession, but it turns out Americans had built up substantial savings during the pandemic, allowing them to spend more even as the Federal Reserve increased interest rates. And believe it or not, more people are gaining more wealth since the pandemic. As the Times notes, recent Fed data shows that American families’ median net worth climbed 37 percent from 2019 to 2022. People are not taking only one vacation; they’re taking multiple trips each year. Americans are beginning to feel secure once again within our economic system.

While the statistics paint a rosy picture, we still need to remain cautiously optimistic about the future. But it feels good to know that for now, the United States is outperforming other large economies due to its aggressive fiscal response to the pandemic and its insulation from the war in Ukraine’s impact on energy prices. For that, President Biden and his administration should be shown a little appreciation. 

The surge in consumer spending and the resultant economic growth are reasons to celebrate, and Biden’s leadership and economic policies have played a pivotal role in this achievement. If these positive trends continue, it would not be surprising to see President Biden continue to lead our nation beyond 2024. He’s undoubtedly earned a second term, and these signs point to a competent, skilled, capable leader. United, we can build a prosperous America that benefits all its citizens, and this economic resurgence is a remarkable step in that direction.

Bill Freeman

Bill Freeman is the owner of FW Publishing, the publishing company that produces the Nashville Scene, Nfocus, the Nashville Post and The News.