[justrealist]

That's not really how it works. US deficit spending isn't producing goods or services. It can motive the production thereof, but it doesn't change the fact that actual things were produced and then purchased using that money.

If people took 100% of the government deficit spending and left it in a savings account, it wouldn't count towards GDP. But clearly that's not happening.

[rory]

No, it is really how it works, (as I caveated) most of the time.

I don't understand what you're arguing here. Is your claim that most of that government deficit was not spent in the domestic economy (therefore stimulating GDP growth)?