Real gross domestic product -- the output of goods and services produced by labor and property
located in the United States -- increased at an annual rate of 2.5 percent in the third quarter of 2011 (that
is, from the second quarter to the third quarter) according to the "advance" estimate released by the
Bureau of Economic Analysis. In the second quarter, real GDP increased 1.3 percent.
The Bureau emphasized that the third-quarter advance estimate released today is based on source
data that are incomplete or subject to further revision by the source agency (see the box on page 3). The
"second" estimate for the third quarter, based on more complete data, will be released on November 22,
2011.
The increase in real GDP in the third quarter primarily reflected positive contributions from
personal consumption expenditures (PCE), nonresidential fixed investment, exports, and federal
government spending that were partly offset by negative contributions from private inventory
investment and state and local government spending. Imports, which are a subtraction in the calculation
of GDP, increased.
The acceleration in real GDP in the third quarter primarily reflected accelerations in PCE and in
nonresidential fixed investment and a smaller decrease in state and local government spending that were
partly offset by a larger decrease in private inventory investment.
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FOOTNOTE.--Quarterly estimates are expressed at seasonally adjusted annual rates, unless otherwise
specified. Quarter-to-quarter dollar changes are differences between these published estimates. Percent
changes are calculated from unrounded data and are annualized. "Real" estimates are in chained (2005)
dollars. Price indexes are chain-type measures.
This news release is available on BEAs Web site along with the Technical Note and Highlights related to this release.
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Final sales of computers added 0.21 percentage point to the third-quarter change in real GDP
after adding 0.07 percentage point to the second-quarter change. Motor vehicle output added 0.07
percentage point to the third-quarter change in real GDP after subtracting 0.10 percentage point from the
second-quarter change.
The price index for gross domestic purchases, which measures prices paid by U.S. residents,
increased 2.0 percent in the third quarter, compared with an increase of 3.3 percent in the second.
Excluding food and energy prices, the price index for gross domestic purchases increased 1.8 percent in
the third quarter, compared with an increase of 2.7 percent in the second.
Real personal consumption expenditures increased 2.4 percent in the third quarter, compared
with an increase of 0.7 percent in the second. Durable goods increased 4.1 percent, in contrast to a
decrease of 5.3 percent. Nondurable goods increased 0.2 percent, the same increase as in the second.
Services increased 3.0 percent, compared with an increase of 1.9 percent.
Real nonresidential fixed investment increased 16.3 percent in the third quarter, compared with
an increase of 10.3 percent in the second. Nonresidential structures increased 13.3 percent, compared
with an increase of 22.6 percent. Equipment and software increased 17.4 percent, compared with an
increase of 6.2 percent. Real residential fixed investment increased 2.4 percent, compared with an
increase of 4.2 percent.
Real exports of goods and services increased 4.0 percent in the third quarter, compared with an
increase of 3.6 percent in the second. Real imports of goods and services increased 1.9 percent,
compared with an increase of 1.4 percent.
Real federal government consumption expenditures and gross investment increased 2.0 percent
in the third quarter, compared with an increase of 1.9 percent in the second. National defense increased
4.8 percent, compared with an increase of 7.0 percent. Nondefense decreased 3.7 percent, compared
with a decrease of 7.6 percent. Real state and local government consumption expenditures and gross
investment decreased 1.3 percent, compared with a decrease of 2.8 percent.
The change in real private inventories subtracted 1.08 percentage points from the third-quarter
change in real GDP after subtracting 0.28 percentage point from the second-quarter change. Private
businesses increased inventories $5.4 billion in the third quarter, following increases of $39.1 billion in
the second quarter and $49.1 billion in the first.
Real final sales of domestic product -- GDP less change in private inventories -- increased 3.6
percent in the third quarter, compared with an increase of 1.6 percent in the second.
Gross domestic purchases
Real gross domestic purchases -- purchases by U.S. residents of goods and services wherever
produced -- increased 2.2 percent in the third quarter, compared with an increase of 1.0 percent in the
second.
Disposition of personal income
Current-dollar personal income increased $29.5 billion (0.9 percent) in the third quarter,
compared with an increase of $145.7 billion (4.6 percent) in the second.
Personal current taxes increased $12.5 billion in the third quarter, compared with an increase of
$35.2 billion in the second.
Disposable personal income increased $17.0 billion (0.6 percent) in the third quarter, compared
with an increase of $110.5 billion (3.9 percent) in the second. Real disposable personal income
decreased 1.7 percent, in contrast to an increase of 0.6 percent.
Personal outlays increased $133.1 billion (4.9 percent) in the third quarter, compared with an
increase of $100.5 billion (3.7 percent) in the second. Personal saving -- disposable personal income
less personal outlays -- was $472.7 billion in the third quarter, compared with $588.9 billion in the
second. The personal saving rate -- saving as a percentage of disposable personal income -- was 4.1
percent in the third quarter, compared with 5.1 percent in the second. For a comparison of personal
saving in BEAs national income and product accounts with personal saving in the Federal Reserve
Boards flow of funds accounts and data on changes in net worth, go to
www.bea.gov/national/nipaweb/Nipa-Frb.asp.
Current-dollar GDP
Current-dollar GDP -- the market value of the nation's output of goods and services -- increased
5.0 percent, or $185.8 billion, in the third quarter to a level of $15,198.6 billion. In the second quarter,
current-dollar GDP increased 4.0 percent, or $145.0 billion.
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BOX
Information on the assumptions used for unavailable source data is provided in a technical note
that is posted with the news release on BEA's Web site. Within a few days after the release, a detailed
"Key Source Data and Assumptions" file is posted on the Web site. In the middle of each month, an
analysis of the current quarterly estimate of GDP and related series is made available on the Web site;
click on Survey of Current Business, "GDP and the Economy."
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BEA's national, international, regional, and industry estimates; the Survey of Current Business; and
BEA news releases are available without charge on BEA's Web site at www.bea.gov. By visiting the
site, you can also subscribe to receive free e-mail summaries of BEA releases and announcements.
* * *
Next release -- November 22, 2011, at 8:30 A.M. EST for:
Gross Domestic Product: Third Quarter 2011 (Second Estimate)
Corporate Profits: Third Quarter 2011 (Preliminary Estimate)
* * *
Release dates in 2012
Gross Domestic Product
2011: IV and 2011 annual 2012: I 2012: II 2012: III
Advance... January 27 April 27 July 27 October 26
Second.... February 29 May 31 August 29 November 29
Third..... March 29 June 28 September 27 December 20
Corporate Profits
Preliminary... ... May 31 August 29 November 29
Revised....... March 29 June 28 September 27 December 20
