US Economy Grew 2.9% in Q4, and Grew 2.1% Overall in 2022
The U.S. economy grew 2.9% in the fourth quarter of 2022, and 2.1% overall for the year, according to the Bureau of Economic Analysis.
The Details: Economists cited across the political spectrum expected 2.6% gross domestic product (GDP) growth in Q4. The 2.9% jump followed 3.2% GDP growth in Q3. In contrast, GDP fell in the first half of 2022, after growing 5.9% in 2021 as the economy bounced back from the COVID-19 pandemic. GDP is the sum of all goods and services the economy produces in a given period.
Key Quotes: The BEA report said the GDP growth "reflected increases in private inventory investment, consumer spending, federal government spending, state and local government spending, and nonresidential fixed investment that were partly offset by decreases in residential fixed investment and exports."
How the Media Covered It: Some left- and center-rated sources, such as CNBC and CNN Business, framed the data as "better than expected" in the context of economists' predictions, rising interest rates, recession fears, and persistent inflation. Some right-rated sources, such as Fox Business, said the data showed how the economy had "cooled slightly" after growing more in Q3.
Featured Coverage of this Story
From the CenterU.S. GDP rose 2.9% in the fourth quarter, more than expected even as recession fears loom
The U.S. economy finished 2022 in solid shape even as questions persist over whether growth will turn negative in the year ahead.
Fourth-quarter gross domestic product, the sum of all goods and services produced for the October-to-December period, rose at a 2.9% annualized pace, the Commerce Department reported Thursday. Economists surveyed by Dow Jones had expected a reading of 2.8%.
The growth rate was slightly slower than the 3.2% pace in the third quarter.
Stock market futures rose following the report while Treasury yields were mostly higher as well.
From the RightUS GDP grew at 2.9% pace in fourth quarter as economy cools
The U.S. economy ended 2022 on solid footing, but momentum seems to have cooled slightly as consumers confront the dual threat of stubbornly high inflation and rising interest rates.
Gross domestic product, the broadest measure of goods and services produced across the economy, grew by 2.9% on an annualized basis in the three-month period from October through December, the Commerce Department said in its first reading of the data on Thursday. Refinitiv economists expected the report to show the economy had expanded by 2.6%.
It marked a decline from the 3.2% pace recorded in the...
From the LeftThe US economy grew by 2.9% in the fourth quarter, more than expected
The US economy expanded again during the fourth quarter, registering solid growth even as consumers and businesses battled inflation and historically high interest rates.
Gross domestic product — the broadest measure of economic activity — increased at an annualized rate of 2.9% from October to December last year, according to Commerce Department data released Thursday.
That’s a slowdown since summer, when the economy saw growth of 3.2% in the third quarter — but an improvement on the first half of the year, which showed two consecutive quarters of contraction.
March 28th, 2023
March 28th, 2023
Discuss & Debate economy and jobs
Truth & Democracy, Session 3 of 3: EducationMarch 29 at 11am PT / 2pm ET Interactivity Foundation