GROSS DOMESTIC PRODUCT: THIRD QUARTER 2007 (FINAL)

 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 4.9 percent in the third quarter of 2007,
according to final estimates released by the Bureau of Economic Analysis.  In the second quarter, real
GDP increased 3.8 percent.

 

 The increase in real GDP in the third quarter primarily reflected positive contributions from
exports, personal consumption expenditures (PCE), private inventory investment, nonresidential
structures, federal government spending, equipment and software, and state and local government
spending that were partly offset by a negative contribution from residential fixed investment.  Imports,
which are a subtraction in the calculation of GDP, increased.
 
 
 Final sales of computers contributed 0.28 percentage point to the third-quarter growth in real GDP
after contributing 0.21 percentage point to the second-quarter growth.  Motor vehicle output contributed
0.36 percentage point to the third-quarter growth in real GDP after contributing 0.03 percentage point to
the second-quarter growth. 





 Real personal consumption expenditures increased 2.8 percent in the third quarter, compared with
an increase of 1.4 percent in the second.  Real nonresidential fixed investment increased 9.3 percent,
compared with an increase of 11.0 percent.  Nonresidential structures increased 16.4 percent, compared
with an increase of 26.2 percent.  Equipment and software increased 6.2 percent, compared with an
increase of 4.7 percent.  Real residential fixed investment decreased 20.5 percent, compared with a
decrease of 11.8 percent.

 Real exports of goods and services increased 19.1 percent in the third quarter, compared with an
increase of 7.5 percent in the second.  Real imports of goods and services increased 4.4 percent, in
contrast to a decrease of 2.7 percent.

 



Gross national product

 Real gross national product -- the goods and services produced by the labor and property supplied
by U.S. residents -- increased 5.8 percent in the third quarter, compared with an increase of 4.0 percent
in the second.  GNP includes, and GDP excludes, net receipts of income from the rest of the world,
which increased $25.9 billion in the third quarter after increasing $5.8 billion in the second; in the third
quarter, receipts increased $32.0 billion, and payments increased $6.1 billion.


Current-dollar GDP

 Current-dollar GDP -- the market value of the nation's output of goods and services -- increased
6.0 percent, or $201.7 billion, in the third quarter to a level of $13,970.5 billion.  In the second quarter,
current-dollar GDP increased 6.6 percent, or $216.9 billion.






                                  Source; Bureau of Economic Analysis