Washington – The US economy grew at an annual rate of 4.3% in the last three months of 2020, slightly more than expected, while expectations for a recovery for this year are increased thanks to the coronavirus vaccination campaign and the $ 1.9 billion package. In help.
Last month, it was calculated that the GDP in the October and December quarter rose 4.1%. The upward review released on Thursday reflected that companies renewed their inventories further.
Over the year, GDP contracted by 3.5%, the largest annual decline since 11.6% in 1946, when the United States was demobilized after World War II. The contraction of 3.5% remained the same in the previous report.
Economists expect a major recovery this year, bolstered by support packages including the $ 1.9 billion, which President Joe Biden signed on March 11, which delivered $ 1,400 in payments to individuals and provided billions of dollars in relief to state and local governments.
Economists believe that all government aid measures will boost GDP in the current January-March quarter to 5% or more. They are forecasting full-year growth of around 6%, the strongest performance since 1984.