The US economy expanded by 1.4% in the first quarter of 2024, according to the Commerce Department’s third and final reading released Thursday, a slight increase from the second reading of 1.3% the previous month. In comparison, the American economy had expanded by 3.4% in the fourth quarter of 2023. The current dollar GDP saw a 4.5% increase at an annual rate, or $312.2 billion, bringing the total GDP to $28.77 trillion.
This new figure is approximately $13.2 billion higher than the previous estimate made in May. The second reading reported a 4.3% increase in the current dollar GDP, amounting to $298.9 billion, with a total GDP of $28.26 trillion. Personal income increased by $396.8 billion in the first quarter, with a downward revision of $7.7 billion according to the agency’s statements.
Disposable personal income, on the other hand, rose by $240.2 billion, representing an increase of 4.8% in the January-March period. The personal saving rate, calculated as personal saving as a percentage of disposable personal income, remained at 3.8% in the first quarter, reflecting a $777.3 billion in personal savings, which was down by $19.3 billion from the previous estimate. Real gross domestic income increased by 1.3% in the January-March period, a drop of 0.2 percentage points from the earlier estimate.