GDP

November 27, 2024 . The preliminary estimate of third quarter GDP was 2.8% which is identical to the advance estimate of third quarter GDP growth released one month ago.  This compares to GDP growth of 3.0% in the second quarter. Final sales, which is GDP excluding...

Final Sales

November 27, 2024 When the economy is slowing down, firms will accumulate unwanted inventories.   Those inventories still show up in GDP, but they are unsold.  Hence, GDP will be biased upwards.  Similarly, in good times businesses will reduce inventory levels to...

Final Sales to Domestic Purchasers

November 27, 2024 It is important to remember that final sales is a measure of how many domestically produced goods are sold each quarter.  But we also sell goods overseas — our exports.   And we purchase goods from other countries — our imports. In the...

Gross Domestic Purchases Deflator

November 27, 2024 There are many different deflators that are available.  This one is for gross domestic purchases which measures prices paid by U.S. residents.  It is the one measure of inflation that the Commerce Department talks about when it releases the GDP...

Personal Income and Consumption Expenditures — Monthly

November 27, 2024 Personal consumption expenditures rose 0.4% in October after climbing 0.6% in September.  In the past year nominal spending has risen 5.4%. What we are really interested in is “real” or inflation-adjusted spending.  That is what goes into...