HEALTH OF OUR NATION – QTR 1 GDP
By: Hope Wilkos, Writer/Blogger Photographer: George Whylie Videographer: Maxine NolanFavorable news on the economic front. As the first quarter of 2012 came to a close, this marked the 11th straight quarter of positive growth in our nation. The Gross Domestic Product (total amount of goods and services produced in the United States) grew at 2.2% annually. The recession that began 2008 is still leaving its mark on the country and therefore additional growth is required to replace jobs lost and build the strength of the economy.
Private sector components of GDP grew in Quarter 1 such as personal expenditure components growing at a rate of 2.9% annually. Auto production increased rapidly and accounted for fully half of the overall GDP growth in the first quarter. Residential construction has increased by 19%. This marks the fourth quarter in a row since 2005.
This positive increase was overshadowed by reduced spending in the government sector along with reduced expenditures in national defense (a reduction of 8.1% in Quarter 1).
If only the private sector components in Gross Domestic Product are considered, it grew by 3.5% in Quarter 1 of 2012.
This total pattern is likely to continue on this path as predicted.
RELEASE BY White House Office of Press Secretary, Alan B. Krueger, Chairman of the Council of Economic Advisers
