Gross Domestic Product, Second Quarter 2023 (Advance Estimate)

 

• Real gross domestic product (GDP) increased at an annual rate of 2.4% in the second quarter of 2023, following an increase of 2.0% in the first quarter.
• The increase in GDP was led by increases in consumer spending, nonresidential fixed investment, state and local government spending, private inventory investment, and federal government spending.
• Imports decreased, which helped to offset some of the growth in domestic spending.
• The price index for gross domestic purchases increased 1.9% in the second quarter, compared with an increase of 3.8% in the first quarter.
• Personal income increased $236.1 billion in the second quarter, compared with an increase of $278.0 billion in the first quarter.
• Disposable personal income increased $248.2 billion, or 5.2%, in the second quarter, compared with an increase of $587.9 billion, or 12.9%, in the first quarter.
• Real disposable personal income increased 2.5% in the second quarter, compared with an increase of 8.5%.
• Personal saving was $869.5 billion in the second quarter, compared with $840.9 billion in the first quarter.
• The personal saving rate—personal saving as a percentage of disposable personal income—was 4.4% in the second quarter, compared with 4.3% in the first quarter.

Overall, the economy grew at a moderate pace in the second quarter of 2023. The increase in GDP was broad-based, with all major spending categories contributing to the growth. However, inflation continued to rise, which could pose a challenge to economic growth in the future.

Source:Gross Domestic Product, Second Quarter 2023 (Advance Estimate) | U.S. Bureau of Economic Analysis (BEA)