Good Data Point

30 January 2014 By Martin Hutchinson

Output increased at a 3.2 pct rate in the fourth quarter. That’s decent, but the details look better than the headline. Exports rose sharply and the private sector more than compensated for shrinking government. Even low savings may now get a boost from Obama’s new MyRAs.

This content is for Subscribers only

Context News

U.S. real GDP increased at an annualized rate of 3.2 percent in the fourth quarter and by 1.9 percent for the year 2013, according to the first estimate from the Bureau of Economic Analysis, released on Jan. 30. In the third quarter of 2013, real GDP increased at a 4.1 percent annual rate, while in 2012 the increase for the year was 2.8 percent.

Net exports added 1.3 percentage points to the annualized growth in GDP during the quarter, while private domestic investment contributed 0.6 percentage point, of which inventory accumulation accounted for 0.4 percentage point. Changes in government spending subtracted 0.9 percentage point from the GDP growth rate.

Email a friend

Please complete the form below.

Required fields *