Explore the connection between the economic indicators and real-world issues. These lessons typically can be done in one class period.
Real Gross Domestic Product (GDP) during the first quarter (January through March) of 2002 increased at an annual rate of 5.8 percent. This is the advance estimate for the first quarter and will be revised in the preliminary and final estimates over the next 2 months. During 2001, real GDP changed at annual rates of +1.3 percent, +0.3 percent, -1.3 percent and +1.7 percent for each quarter respectively. This is the fastest rate of growth of GDP since the fourth quarter of 1999. The growth rate in real GDP for all of 2001 was 1.2 percent. That compares to a 4.1 percent annual growth rate in both 1999 and in 2000.
Real Gross Domestic Product (GDP) during the third quarter (July through September) of 2002 increased at an annual rate of 4.0 percent. This is described as the preliminary release and is a more rapid rate of increase than the previously announced rate of 3.1 percent. It will be once again updated in the December 20th release of the GDP data. This compares to rates of 5.0 percent in the first quarter and 1.3% in the second quarter of this year. During 2001, real GDP increased by .3 percent - a year in which real GDP fell during the first three quarters. Annual growth rates in 1999 and 2000 were 4.1 percent and 3.8 percent.