The admin cheerleaders are predicting that the economy will be getting much better by the end of the year.

The Obama administration projected that the U.S. economy will expand at a 3.5 percent annual rate by year-end, a rebound that would be almost twice as strong as private forecasters expect.

As early as the end of this year, GDP may rise at a 3.5 percent annual rate, the same pace projected for all of next year, helped by a $787 billion stimulus package, the administration said in the report today. That’s more optimistic than the 1.8 percent fourth-quarter growth estimate in the monthly Blue Chip Economic Indicators survey released May 10.

The administration expects “housing starts to reach bottom this year and to begin a robust recovery as relative housing prices stabilize,” today’s report said.

The Federal Reserve’s “novel” policies of extending funds to banks to boost liquidity and purchasing short- and long-term Treasuries also will help underpin the recovery, the White House said. Still, a doubling of the Fed’s balance sheet to about $2 trillion “holds the potential for an explosive increase in the nation’s money supply,” it said.

With each passing day the news coming from the Obamna economic team keeps getting better and better…..personally, I do not see it, but then I am not trying to convince a country of my outlook.