The U.S. GDP grew at an annual rate of 6.5 percent in the second quarter of 2021, according to the first preliminary estimate released by the U.S. Bureau of Economic Analysis (BEA) on Thursday. Once again, personal consumption expenditure was the main driver behind the upswing, as private domestic investment and the trade deficit pulled in the other direction.
Personal consumption, by far the largest component of the GDP, increased by 11.8 percent compared to the preceding quarter at an annualized rate, thanks to a steep increase in spending on services. The following chart breaks down the Q2 2021 GDP into its four components and shows how much each component contributed to the total growth of 6.5 percent.
This chart breaks down the Q2 2021 GDP into its four components and shows how much each component contributed to the total growth of 6.5 percent.
