2017 GDP: Where does it rank?
The latest reading on Gross Domestic Product (GDP) may have missed analysts’ expectations, but it still reflected that the U.S. economy is firing on all cylinders with the fastest consumer spending since the spring of 2016 and a jump in home construction.
The U.S. economy grew by 2.6% in the fourth quarter of 2017, missing the Reuters compiled forecast for economic growth of 3.0%.
The fourth-quarter reading follows up gains of just above 3% in the second and third quarters, the Commerce Department reported Friday.
The slowdown in the October-December period reflected a worsening trade deficit and less growth in inventory restocking by companies.
Overall, for 2017, the economy grew at 2.3%, well above the 1.5% growth experienced in 2016.
Economists are expecting even better growth in 2018, driven by the tax cuts. According to the Trump administration its tax cuts, deregulation and stricter trade laws will lift economic growth to 3% or better in the coming years.