April 27, 2018

Consumption has been the leading component of GDP through the recovery. An improvement in the trade deficit in the downturn gave a boost to the economy, but there has been little clear trend in subsequent years. Investment has modestly lagged GDP growth, while the government share has trended downward after the initial stimulus ended. Its share is now just 90 percent of its prerecession level. Residential construction has trended modestly upward, but it is still more than 25 percent below its bubble share of output. For more, check out the latest GDP Byte.