Headline Roundup • January 26th, 2024
US GDP Grew 3.3% in Q4, Outpaced by National Debt Growth
Summary from the AllSides News Team
U.S. gross domestic product (GDP) rose steadily in the fourth quarter of 2023, as did the national debt.
The Details: According to the Bureau of Economic Analysis, U.S. GDP rose by $328 billion in Q4 of 2023, a 3.3% increase from the same period in 2023. Economists reportedly expected growth of around 2%. Meanwhile, the federal government added over $800 billion to the national debt in Q4, according to the Treasury Department.
For Context: The U.S. debt-to-GDP ratio passed 100% in 2013 and currently stands around 123%.
How the Media Covered it: Many left- and center-rated sources framed the GDP data as great news for the economy. Few, if any, mentioned the debt growth. Conversely, right-rated outlets focused more on debt growth than GDP growth, and framed the situation as economically unsustainable. CNBC (Center bias) said "the U.S. easily skirted a recession that many forecasters had thought was inevitable." Axios (Lean Left) said it was "much stronger growth than economists expected and caps a year of economic resilience as the nation avoided a projected recession." An article from the Daily Caller (Right) began by reporting that the "federal government’s debt grew more than twice the amount that the economy did in the fourth quarter of 2023."
Why the Difference: People on the right are generally more concerned about high government debt than people on the left are. Those on the left may be more optimistic about the Biden administration's economic plans.
Featured Coverage of this Story
CNBC
The economy grew at a much more rapid pace than expected while inflation eased in the final three months of 2023, as the U.S. easily skirted a recession that many forecasters had thought was inevitable, the Commerce Department reported Thursday.
Gross domestic product, a measure of all the goods and services produced, increased at a 3.3% annualized rate in the fourth quarter of 2023, according to data adjusted seasonally and for inflation.
That compared with the Wall Street consensus estimate for a gain of 2% in the final three months...
The federal government’s debt grew more than twice the amount that the economy did in the fourth quarter of 2023, as measured by gross domestic product (GDP).
Real GDP showed above-trend growth in the fourth quarter of 2023, rising 3.3% year-over-year, equating to a $328.7 billion increase to the U.S. economy, according to the Bureau of Economic Analysis (BEA). In contrast, the federal government held nearly $33.17 trillion in debt at the end of the third quarter of 2023, which jumped to just over $34 trillion by the end of the year, equating to an over...
The U.S. economy expanded at a 3.3% annualized pace in the final quarter of 2023, the Commerce Department said on Thursday.
Why it matters: It's much stronger growth than economists expected and caps a year of economic resilience as the nation avoided a projected recession.
The economy moderated in the September-December period compared to the previous quarter's 4.9% growth, which got a notable boost from companies building up inventories.
The big picture: Economic growth has been underpinned by booming consumer spending that continued even as prices for many items remain steep and interest rates rose.
That dynamic continued in the...
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