US Fourth Quarter GDP Growth

By Ben Casselman @bencasselman

"U.S. gross domestic product, adjusted for inflation, grew by 1.7 percent in the fourth quarter (6.9% on an annualized basis). That makes 2021 the best full year for growth since 1984."

"Real G.D.P. is still below its prepandemic trend, although the acceleration in the fourth quarter helped it catch up. But nominal G.D.P. (not adjusted for inflation) has significantly surpassed its prepandemic trend. So inflation is eating some of the gains in the recovery.

"You can see this even more clearly putting the two series together -- nominal G.D.P. has soared above trend, while real G.D.P. is still trying to get back. (Though rebound has been historically strong by either measure.)"

"For all of 2021, the economy grew 5.7%, adjusted for inflation. That's the best year of growth since 1984. Measured from the fourth quarter of 2020 to the fourth quarter of 2021 (arguably a better measure of growth during a year), the economy grew 5.5%, also the best since 1984."

Related Dataset

Activity - USA - BEA - Gross Domestic Product

Maia Mindel

Written by

Maia Mindel

Macroeconomic analyst at Alphacast. Following inflation, activity, and trade.

Alphacast's curated selection of Community Content


Part of


Related insights