The US saw a increase in Gross Domestic Product of 33.1% during the third quarter. This comes after GDP decreased by 31.4% during quarter two. The gains are attributed to increased consumer spending, which increased by 1.4%, strong gains with business, residential investment increased, and increased exports. The gains in these areas come as states were able to ease up on the lockdown guidelines, allowing citizens return back to some normality.
As strong as the GDP report was, there are still concerning figures that will likely inhibit economic performance in the next quarter. Since March there have been $22 million jobs lost, of which only half have been recovered. This leaves unemployment at 7.9%, a rate more than double its pre-pandemic level. Without the passage of another stimulus package, and a forecasted insurgence of COVID cases during the winter, it is unlikely to have the continued success that was seen in quarter 3.
https://www.cnbc.com/2020/10/29/us-gdp-report-third-quarter-2020.html
1 comment:
In comparison to Q3, I think the growth of q4 will decrease but the growth will still be very high just not as high as Q3. I definitely think that the holiday season will have a great effect on the GDP growth
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