Sharp Spending Slowdown Lowers 4th-Quarter US GDP Ahead of Banking Crisis

Sharp Spending Slowdown Lowers 4th-Quarter US GDP Ahead of Banking Crisis
People carrying shopping bags walk inside the King of Prussia shopping mall in King of Prussia, Pa., on Nov. 26, 2021. Rachel Wisniewski/Reuters
Andrew Moran
Updated:
0:00
The U.S. economy grew 2.6 percent in the fourth quarter, down from 3.2 percent in the third quarter, according to the Bureau of Economic Analysis (BEA). This is slightly below the second estimate of 2.7 percent.

The real GDP growth rate (inflation-adjusted) was 2.1 percent in 2022, down from 5.9 percent in 2021. Most of the expansion was driven by gains in consumer spending, private inventory investment, exports, and nonresidential fixed investment. A drop in federal government spending and residential fixed investment offset a portion of these increases.

Andrew Moran
Andrew Moran
Author
Andrew Moran has been writing about business, economics, and finance for more than a decade. He is the author of "The War on Cash."
Related Topics