ECO 304L Chapter Unit 2: Ch 5-8,13: Historical Fluctuations of Output
7 Oct 2017
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A million dollars sounds like a lot of money, but it"s only a tiny fraction of gdp. Even a billion dollars is less than just one hundredth of one percent of gdp: annual and quarterly figures, u. s. gdp statisti(cid:272)s a(cid:396)e (cid:272)o(cid:373)piled (cid:271)y the fede(cid:396)al gove(cid:396)(cid:374)(cid:373)e(cid:374)t"s bu(cid:396)eau of. Economic analysis (bea) in the national income and product accounts (nipa). The data from these accounts are released every calendar quarter: to make sure that all nipa data are comparable, quarterly figures are. annualized, that is, they are expressed as if the economic activity that actually occurred during a quarter had continued for a full year: example: the reported gdp for the third quarter of 2012 (current estimate) was . 8 trillion. Of course it"s not possible that the economy produced . 8 trillion of goods and services in just a single quarter of gdp when it produced . 7 during the entire year of 2012. Indeed, the quarterly figure is annualized by multiplying by four.
