GDP

August 29, 2019 The revised estimate of second quarter GDP growth came in 2.0% compared to an initial estimate of 2.1% and a first quarter GDP growth of 3.1%.  Thus, GDP growth in the first half of this year averaged a solid 2.6%  For 2018 as a whole GDP rose 3.1%. ...

Final Sales

August 29, 2019 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

August 29, 2019 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

August 29, 2019 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...