Real gross domestic product – the output of goods and services produced by labor and property located in the U.S. – increased at an annual rate of 2.6 percent in the fourth quarter, according to the advance estimate released by the Bureau of Economic Analysis. In the third quarter, real GDP increased 5 percent. The fourth-quarter advance estimate is based on source data that are incomplete or subject to further revision by the source agency. The second estimate for the fourth quarter, based on more complete data, will be released on February 27.
The increase in real GDP in the fourth quarter primarily reflected positive contributions from personal consumption expenditures, private inventory investment, exports, nonresidential fixed investment, state and local government spending and residential fixed investment that were partly offset by a negative contribution from federal government spending. Imports, which are a subtraction in the calculation of GDP, increased.
The deceleration in real GDP in the fourth quarter primarily reflected an upturn in imports, a downturn in federal government spending, and decelerations in nonresidential fixed investment and in exports that were partly offset by an upturn in private inventory investment and acceleration in personal consumption expenditures.
In 2014, real GDP increased 2.4 percent, compared with an increase of 2.2 percent in 2013.
The increase in real GDP in 2014 reflected positive contributions from personal consumption expenditures, nonresidential fixed investment, exports, private inventory investment, state and local government spending and residential fixed investment that were partly offset by a negative contribution from federal government spending. Imports, which are a subtraction in the calculation of GDP, increased.
The acceleration in real GDP growth in 2014 reflected an acceleration in nonresidential fixed investment, a smaller decrease in federal government spending, and accelerations in private inventory investment, in personal consumption expenditures and in state and local government spending that were partly offset by an acceleration in imports and a deceleration in residential fixed investment.
