Real gross domestic product (GDP) increased by 2.9 percent year-on-year in the fourth quarter of 2022. In the third quarter real GDP has increased 3.2 percent, according to the Bureau of Economic Analysis’ “preliminary” estimate.
The increase in real GDP reflected increases in private inventory investment, consumer spending, federal government spending, state and local government spending and investment in non-residential fixed assets that were partially offset by decreases in residential fixed investment and exports, according toUnited States Department of Commerce . Imports, which are a deduction in the calculation of GDP, decreased.
“The increase in private inventory investment was led by manufacturing (primarily petroleum and coal products and chemicals) and by the mining, utilities and construction industries (led by utilities),” the U.S. Department of Commerce said. According to the Bureau of Economic Analysis, the increase in consumer spending reflected an increase in both services and goods.
“The news couldn’t have been better,” US President Joe Biden said of Thursday’s GDP report. “We’re moving in the right direction. Now we need to protect those gains.” The US president gave a speech on PBS, an American public broadcaster.
Within services, the increase was led by healthcare, housing and utilities, and “other” services (particularly personal care services). Within goods, motor vehicles and parts made the largest contribution. Within federal government spending, the increase was led by non-defense spending, according to the U.S. Department of Commerce.
“The increase in state and local government spending primarily reflected an increase in state and local government employee compensation. Within non-residential fixed investment, an increase in intellectual property products was partially offset by a decrease in equipment,” according to the Bureau of Economic Analysis. said Thursday’s report.
The U.S. Department of Commerce said: “Compared to the third quarter, the slowdown in real GDP in the fourth quarter primarily reflected a decline in exports and slowdowns in nonresidential fixed investment, state and local government spending and consumer spending.”
These moves were partially offset by a rebound in private inventory investment, an acceleration in federal government spending, and a smaller decline in residential fixed asset investment. According to the US Department of Commerce, imports fell less in the fourth quarter than in the third quarter.
GDP in current dollars rose 6.5 percent year-on-year in the fourth quarter, or $408.6 billion, to a level of $26.13 trillion. In the third quarter, GDP rose 7.7 percent, or $475.4 billion, according to the Bureau of Economic Analysis.
Investment in non-residential fixed assets is often considered the sector most critical to sustaining an economic expansion, as well as contributing to longer-term growth of the economy. There are three major components of investment in non-residential fixed assets: structures, equipment, and intellectual property products.
“The GDP estimate released today is based on source data that is either incomplete or subject to further revision by the source agency. The ‘second’ Q4 estimate, based on more complete data, will be released on February 23, 2023,” it said. report from the Bureau of Economic Analysis.
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The increase in real GDP reflected increases in private inventory investment, consumer spending, federal government spending, state and local government spending and investment in non-residential fixed assets that were partially offset by decreases in residential fixed investment and exports, according to
“The increase in private inventory investment was led by manufacturing (primarily petroleum and coal products and chemicals) and by the mining, utilities and construction industries (led by utilities),” the U.S. Department of Commerce said. According to the Bureau of Economic Analysis, the increase in consumer spending reflected an increase in both services and goods.
“The news couldn’t have been better,” US President Joe Biden said of Thursday’s GDP report. “We’re moving in the right direction. Now we need to protect those gains.” The US president gave a speech on PBS, an American public broadcaster.
Within services, the increase was led by healthcare, housing and utilities, and “other” services (particularly personal care services). Within goods, motor vehicles and parts made the largest contribution. Within federal government spending, the increase was led by non-defense spending, according to the U.S. Department of Commerce.
“The increase in state and local government spending primarily reflected an increase in state and local government employee compensation. Within non-residential fixed investment, an increase in intellectual property products was partially offset by a decrease in equipment,” according to the Bureau of Economic Analysis. said Thursday’s report.
The U.S. Department of Commerce said: “Compared to the third quarter, the slowdown in real GDP in the fourth quarter primarily reflected a decline in exports and slowdowns in nonresidential fixed investment, state and local government spending and consumer spending.”
These moves were partially offset by a rebound in private inventory investment, an acceleration in federal government spending, and a smaller decline in residential fixed asset investment. According to the US Department of Commerce, imports fell less in the fourth quarter than in the third quarter.
GDP in current dollars rose 6.5 percent year-on-year in the fourth quarter, or $408.6 billion, to a level of $26.13 trillion. In the third quarter, GDP rose 7.7 percent, or $475.4 billion, according to the Bureau of Economic Analysis.
Investment in non-residential fixed assets is often considered the sector most critical to sustaining an economic expansion, as well as contributing to longer-term growth of the economy. There are three major components of investment in non-residential fixed assets: structures, equipment, and intellectual property products.
“The GDP estimate released today is based on source data that is either incomplete or subject to further revision by the source agency. The ‘second’ Q4 estimate, based on more complete data, will be released on February 23, 2023,” it said. report from the Bureau of Economic Analysis.
ALSO SEE:
Air India’s progress has been ‘quite astonishing’: CEO Campbell Wilson
Equal-weight index: for diversified investments with low volatility