Archive for the 'GDP' Category



Guam’s Economy Grows 0.5 Percent in 2012

Newly published estimates for Guam show that real gross domestic product (GDP)—GDP adjusted to remove price changes—increased 0.5 percent in 2012, after decreasing 0.6 percent in 2011.

For comparison, real GDP for the United States (excluding the territories) increased 2.8 percent in 2012 and 1.8 percent in 2011.

In 2012, the increase in real GDP reflected an improvement in the trade balance. Exports of services—primarily spending by tourists—contributed significantly to economic growth.

In 2011, the decline in real GDP reflected a decrease in private fixed investment and a deterioration in the trade balance. The decrease in private fixed investment reflected a drop in private construction activity.

Read the full report here.

Northern Mariana Islands’ Economy Grows in 2012, Shrinks in 2011

Newly published estimates for the Commonwealth of the Northern Mariana Islands show that real Gross Domestic Product, GDP adjusted to remove price changes, increased 5.2 percent in 2012 after decreasing 6.8 percent in 2011.

For comparison, real GDP for the United States (excluding the territories) increased 2.8 percent in 2012 and 1.8 percent in 2011.

Tourism spending was a key driver of the CNMI’s economy over this period, accounting for much of the growth in 2012 and the decline in 2011. Exports of services, which consist mostly of spending by tourists, increased 17.0 percent in 2012 after decreasing 10.7 percent in 2011. The pattern of tourism spending reflected visitor arrivals to the CNMI, which rebounded in 2012 after falling significantly in 2011. The decline in 2011 reflected a drop in arrivals from Japan that were adversely affected by the March 2011 earthquake and tsunami.

Consumer spending also played a major role in the economy, increasing 4.9 percent in 2012 after decreasing 2.4 percent in 2011. The pattern of consumer spending reflected household purchases of durable goods, primarily motor vehicles.

Territorial government spending fell in both years.

Read the full report here.

GDP Growth Picks Up in Third Quarter

Real gross domestic product (GDP) increased 2.8 percent in the third quarter of 2013, according to the “advance” estimate released by the Bureau of Economic Analysis. In the second quarter, the growth rate was 2.5 percent.

GDP growthgdp_11_7_1
The third-quarter growth reflected the following:
• Imports decelerated. Nonauto consumer goods turned down, and autos and auto parts decelerated. In contrast, nonpetroleum industrial supplies turned up.
• Inventory investment picked up. Wholesale trade, especially durable goods, more than accounted for the pick up. Manufacturing inventory investment also accelerated.
• State and local government spending accelerated. Investment in structures turned up.

In contrast, the following decelerated in the third quarter: exports (mainly nonauto consumer goods and nonauto capital goods), business investment (mainly information processing equipment), and consumer spending (mainly housing and utilities as well as health care).

Personal income and personal saving
Real disposable personal income (DPI), which adjusts for taxes and inflation, increased 2.5 percent in the third quarter after increasing 3.5 percent in the second quarter. The slowdown in real DPI reflected an upturn in consumer prices that was partly offset by an acceleration in current-dollar DPI.

Personal saving as a percent of DPI was 4.7 percent in the third quarter, compared with 4.5 percent in the second quarter.

Pricesgdp_11_7_2
Prices of goods and services purchased by U.S. residents accelerated in the third quarter, increasing 1.8 percent after increasing 0.2 percent in the second quarter.

Energy goods and services prices turned up, accounting for much of the third-quarter pickup in gross domestic purchases prices. In particular, consumer spending on gasoline and other energy goods turned up.

Food prices accelerated modestly.

Prices less food and energy increased 1.5 percent after increasing 0.8 percent.

For more on GDP, read the full report.