Fourth Quarter GDP up 2.1%, 2019’s Growth is Slowest in Three Years
January 30, 2020
The U.S. economy grew at 2.1 percent in the fourth quarter, falling in line with economist expectations. This brings 2019’s total GDP growth to 2.3 percent, the slowest in three years. It is a substantial fall from 2018’s 2.9 percent increase, though that year’s growth was boosted by tax reform.
Economist reaction to the numbers was split, with some seeing it as a sign of the economy losing momentum, while others feel it represents strong growth for an economy now in its 11th year of the current economic expansion.
The continued strength of the consumer boosted growth, though consumer spending was up just 1.8 percent. This is well below the 3.2 percent increase in the third quarter.