Real U.S. GDP Up 2.1% in 4Q According to Third Estimate - Modern Distribution Management

Log In

Real U.S. GDP Up 2.1% in 4Q According to Third Estimate

The GDP estimate is based on more complete source data than were available for the second estimate issued last month. In the second estimate, the increase in real GDP was also 2.1%.
digital bars representing the stock market with lighting behind
Author
Date

Real gross domestic product increased at an annual rate of 2.1% in the fourth quarter of 2019, according to the third estimate released by the Bureau of Economic Analysis. In the third quarter, real GDP also increased 2.1%.

The GDP estimate is based on more complete source data than were available for the second estimate issued last month. In the second estimate, the increase in real GDP was also 2.1%. In the third estimate, an upward revision to personal consumption expenditures was largely offset by downward revisions to federal government spending and nonresidential fixed investment.

The increase in real GDP in the fourth quarter reflected positive contributions from PCE, exports, residential fixed investment, federal government spending, and state and local government spending that were partly offset by negative contributions from private inventory investment and nonresidential fixed investment. Imports, which are a subtraction in the calculation of GDP, decreased.

Real GDP growth in the fourth quarter was the same as that in the third. In the fourth quarter, a downturn in imports and an acceleration in government spending were offset by a larger decrease in private inventory investment and a slowdown in PCE.

Real gross domestic income increased 2.6% in the fourth quarter, compared with an increase of 1.2% in the third quarter. The average of real GDP and real GDI, a supplemental measure of U.S. economic activity that equally weights GDP and GDI, increased 2.4% in the fourth quarter, compared with an increase of 1.7% in the third quarter.

Current‑dollar GDP increased 3.5%, or $186.6 billion, in the fourth quarter to a level of $21.73 trillion. In the third quarter, current-dollar GDP increased 3.8%, or $202.2 billion.

The price index for gross domestic purchases increased 1.4% in the fourth quarter, the same increase as in the third quarter. The PCE price index increased 1.4%, compared with an increase of 1.5%. Excluding food and energy prices, the PCE price index increased 1.3%, compared with an increase of 2.1%.

Share this article

About the Author
Recommended Reading
Leave a Reply

Leave a Comment

Sign Up for the MDM Update Newsletter

The MDM update newsletter is your best source for news and trends in the wholesale distribution industry.

Get the MDM Update Newsletter

Wholesale distribution news and trends delivered right to your inbox.

Sign-up for our free newsletter and get:

  • Up-to-date news in a quick-to-read format
  • Free access to webcasts, podcasts and live events
  • Exclusive whitepapers, research and reports
  • And more!

2

articles left

Want more Premium content from MDM?

Subscribe today and get:

  • New issues twice each month
  • Unlimited access to mdm.com, including 10+ years of archived data
  • Current trends analysis, market data and economic updates
  • Discounts on select store products and events

Subscribe to continue reading

MDM Premium Subscribers get:

  • Unlimited access to MDM.com
  • 1 year digital subscription, with new issues twice a month
  • Trends analysis, market data and quarterly economic updates
  • Deals on select store products and events

1

article
left

You have one free article remaining

Subscribe to MDM Premium to get unlimited access. Your subscription includes:

  • Two new issues a month
  • Access to 10+ years of archived data on mdm.com
  • Quarterly economic updates, trends analysis and market data
  • Store and event discounts

To continue reading, you must be an MDM Premium subscriber.

Join other distribution executives who use MDM Premium to optimize their business. Our insights and analysis help you enter the right new markets, turbocharge your sales and marketing efforts, identify business partners that help you scale, and stay ahead of your competitors.

Register for full access

By providing your email, you agree to receive announcements from us and our partners for our newsletter, events, surveys, and partner resources per MDM Terms & Conditions. You can withdraw consent at any time.

Learn More about Custom Reports

Request a Market Prospector Demo

  • This field is for validation purposes and should be left unchanged.