United States gross domestic product expanded at an annualized rate of 1.5 percent in the third quarter of 2015, according to the first estimate from the Department of Commerce’s Bureau of Economic Analysis.
United States gross domestic product (GDP) expanded at an annualized rate of 1.5 percent in the third quarter of 2015, according to the first “advance” estimate from the Department of Commerce’s Bureau of Economic Analysis.
The Bureau noted that the third quarter advance estimate released Thursday is based on source data that is incomplete and subject to further revision. The “second” estimate for the third quarter, based on more complete data, will be released on Nov. 24.
Commerce said real GDP increased 3.9 percent in the second quarter.
The deceleration in real GDP in the third quarter was driven primarily by a downturn in private inventory investment and declines in exports, nonresidential fixed investment, PCE, state and local government spending, and residential fixed investment, which were partly offset by a decrease in imports.
Real exports of goods and services increased 1.9 percent in the third quarter, while imports, which are a subtraction in the calculation of GDP, grew 1.8 percent, according to BEA. U.S. export growth has been held in check by a strong dollar, which makes U.S. exports more expensive and, therefore, less desirable abroad.
The early third quarter projections represent a downturn after second quarter 2015 GDP growth rebounded significantly from a first quarter that was slowed by harsh winter weather and West Coast port congestion. Real U.S. GDP increased at an anemic annual rate of 0.6 percent in the first quarter of 2015.
Gross domestic product – the value of the goods and services produced by the nation’s economy minus the value of the goods and services used up in production – is considered one of several key indicators in the overall health of the U.S. economy.
U.S. GDP growth slows in Q3
