From FoxNews:
A top Trump economic advisor is projecting a surge in U.S. growth, saying the country could see GDP expansion greater than even 6% amid a capital spending boom, particularly if the conflict in Iran ends soon.
“I think we really could be looking at numbers north of four, north of five, north of even six [percent], because there’s so much capital stock growth right now,” National Economic Council Director Kevin Hassett told “Sunday Morning Futures.”
Hassett elaborated on the acceleration in capital spending, noting that investment jumped 3.3% in March alone, not at an annualized rate.
It’s unclear what time period Hassett is referring to. According to the FY2027 Budget, the 2026 q4/q4 growth rate was projected to run 3.4%, dropping down to 3.1% in 2027 and subsequent years (pre-War). Here’s a picture of Hassett’s (conditional) prediction, assuming the official 2026 forecast, and 5% thereafter.
Figure 1: Reported GDP (bold black), Administration’s FY2027 Budget forecast (red squares), WSJ April survey mean (blue), Hassett 5% growth in 2027 (teal triangle), +/- 1 standard error band (light gray lines). Source: BEA, WSJ April survey, author’s calculations.
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