The Bureau of Economic Analysis reported on Thursday that the domestic economy grew at a rate of 2.0% (annual) in the second quarter of 2019. This is the final report on gross domestic product (GDP) for the second quarter, and it came in just below the consensus estimate of 2.1% and was unchanged from the prior read.
Downward revisions to personal consumption expenditures (PCE) and nonresidential fixed investment were primarily offset by upward revisions to state and local government spending and exports. Imports, which are a subtraction in the calculation of GDP, were revised down.
Real gross domestic income (GDI) increased 1.8% in the second quarter, compared with an increase of 3.2% in the first quarter. The average of real GDP and real GDI, a supplemental measure of U.S. economic activity that equally weights GDP and GDI, increased 1.9% in the second quarter, compared with an increase of 3.2% in the first quarter.
Current-dollar GDP increased 4.7%, or $241.5 billion, in the second quarter to a level of $21.34 trillion. In the first quarter, current-dollar GDP increased by 3.9%, or $201.0 billion.
The price index for gross domestic purchases increased 2.2% in the second quarter, compared with an increase of 0.8% in the first quarter. The PCE price index increased by 2.4%, compared with a prior increase of 0.4%. Excluding food and energy prices, the PCE price index increased 1.9%, compared with an increase of 1.1%.
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