Expectations for the third quarter GDP growth was initially 3.5% but this figure was later revised to 3.3%. In reality, the U.S. economy grew at an annualized rate of 3.9% in the last quarter.
According to the Bureau of Economic Analysis, private inventory investment decreased less than estimated while personal consumption and nonresidential fixed investment increased. Economists still aren't sure if this growth rate will be sustainable in the near future but they are hopeful.
With the holiday season in full swing, fourth-quarter GDP is expected to see an increase of 4.2%. Although the third quarter results are somewhat sustainable, it is understood that fourth quarter estimates are not a true representation of a realistic growth rate.
While manufacturers are busy vamping up production for mostly consumer products, it is interesting to see that there was an 16% increase in defense spending during the same time. Overall government consumption expenditure rose by 9.9% in the same quarter.
The U.S. economy seems to be headed in the right direction but next year's first quarter numbers will be a better indication of the true condition of the economy.
Read More: http://ow.ly/F6Amh
According to the Bureau of Economic Analysis, private inventory investment decreased less than estimated while personal consumption and nonresidential fixed investment increased. Economists still aren't sure if this growth rate will be sustainable in the near future but they are hopeful.
With the holiday season in full swing, fourth-quarter GDP is expected to see an increase of 4.2%. Although the third quarter results are somewhat sustainable, it is understood that fourth quarter estimates are not a true representation of a realistic growth rate.
While manufacturers are busy vamping up production for mostly consumer products, it is interesting to see that there was an 16% increase in defense spending during the same time. Overall government consumption expenditure rose by 9.9% in the same quarter.
The U.S. economy seems to be headed in the right direction but next year's first quarter numbers will be a better indication of the true condition of the economy.
Read More: http://ow.ly/F6Amh
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