GDP Revised Up to 3%
August 30, 2017
Real gross domestic product (GDP)
increased at an annual rate of 3.0 percent in the second quarter of 2017
(table 1), according to the "second" estimate released by the Bureau of
Economic Analysis. In the first quarter, real GDP increased 1.2 percent.
The GDP estimate released today is based on more complete source data
than were available for the "advance" estimate issued last month. In the
advance estimate, the increase in real GDP was 2.6 percent. With this
second estimate for the second quarter, the general picture of economic
growth remains the same; increases in personal consumption expenditures
(PCE) and in nonresidential fixed investment were larger than previously
estimated. These increases were partly offset by a larger decrease in
state and local government spending.
gross domestic income (GDI) increased 2.9 percent in the second quarter,
compared with an increase of 2.7 percent (revised) in the first. The
average of real GDP and real GDI, a supplemental measure of U.S.
economic activity that equally weights GDP and GDI, increased 3.0
percent in the second quarter, compared with an increase of 2.0 percent
in the first quarter.
The increase in real GDP in the second quarter reflected positive
contributions from PCE, nonresidential fixed investment, exports,
federal government spending, and private inventory investment that were
partly offset by negative contributions from residential fixed
investment and state and local government spending. Imports, which are a
subtraction in the calculation of GDP, increased .
The acceleration in real GDP in the second quarter primarily reflected
upturns in private inventory investment and federal government spending
and an acceleration in PCE that were partly offset by downturns in
residential fixed investment and state and local government spending and
a deceleration in exports.