Q4 GDP Advance Estimate is 2.8%

Earlier today, the BEA (Bureau of Economic Analysis) of the US Department of Commerce released their advance estimate for annualized real GDP (Gross Domestic Product) growth in the United States for the fourth quarter of 2011.

According to the BEA, real gross domestic product grew at an annualized rate of 2.8% in the fourth quarter. The BEA notes that the advance estimate is "incomplete" and is subject to further revision.

Personal consumption expenditures grew at an annualized rate of 2.0% in the fourth quarter, while government consumption expenditures and gross investment fell by 4.6%.

Disposable income increased 1.5% in the fourth quarter, while the personal saving rate (saving as a percentage of disposable personal income) dropped from 3.9% to 3.7% in Q4.

The BEA also revealed that real GDP grew by 1.8% in the third quarter of 2011.

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According to the BEA, real GDP increased 1.7% in 2011.

Let's look at GDP growth (or lack of it) over the past five years:

2007, 1.9%
2008, -0.3%
2009, -3.5%
2010, 3.0%
2011, 1.7%

Source: Historical GDP Numbers

Source: BEA.gov

Filed under: General Knowledge