Economy grows at weak 1.9 percent in Q4

The U.S. economy grew at a weak 1.9 percent pace in the final three months of last year, although consumers kept up their spending from the more robust third quarter. 

The second estimate of fourth-quarter growth, which was unchanged from the initial report, reflected a considerable slow down from the 3.5 percent posted in the July-September period, the Commerce Department reported on Tuesday.

{mosads}Consumer spending picked up its pace, but business and government spent less than initially reported.

Growth for 2016 was only 1.6 percent, the lowest level in five years, compared with an increase of 2.6 percent in 2015.

Estimates for growth this year range between 2 percent and 3 percent. 

President Trump has promised to boost economic growth to as high as 5 percent through a plan of tax cuts and regulation slashing while spending more on the military and infrastructure. 

Despite the president’s rosy expectations, Treasury Secretary Steven Mnuchin has said that, if enacted, the administration’s economic program could push growth up to 3 percent but that it may take a year or two to see the improvements.