US Economy Cools Sharply in 4th Quarter as Government Shutdown Weighs on GDP

First-quarter growth is expected to slow at a still-solid pace.

People shop on Black Friday at a mall in Hanover, Md., on Nov. 29, 2024. Madalina Vasiliu/The Epoch Times

The record-breaking government shutdown weighed on the U.S. economy in the fourth quarter as momentum faded following back-to-back quarters of solid gross domestic product (GDP) growth.

Fourth-quarter GDP grew 1.4 percent, driven by consumer spending and investments, according to new data released by the Bureau of Economic Analysis on Feb. 20.