Second Estimate of GDP for the Second Quarter of 2014

(White House) Today’s revision affirms that economic growth in the second quarter was strong, consistent with the recent string of solid job growth and improvements in other economic indicators. But there s more work that needs to be done to build on this momentum. That is why the President continues to act on his own to facilitate investment in American manufacturing, energy, and infrastructure, as well as take steps to improve the financial security of working families.
FIVE KEY POINTS IN TODAY S REPORT FROM THE BUREAU OF ECONOMIC ANALYSIS
1. Real gross domestic product (GDP) increased 4.2 percent at an annual rate in the second quarter of 2014, according to the second estimate from the Bureau of Economic Analysis. The strong second-quarter growth represents a rebound from a first-quarter decline in GDP that largely reflected transitory factors like unusually severe winter weather and a sharp slowdown in inventory investment. Growth in consumer spending and business investment picked up in the second quarter, and residential investment increased following two straight quarters of decline. Additionally, state and local government spending grew at the fastest quarterly rate in five years. However, net exports subtracted from overall GDP growth, as imports grew faster than exports. Real gross domestic income (GDI), an alternative measure of the overall size of the economy, was up 4.7 percent in Q2.

read moreSource: www.whitehouse.gov