US GDP and consumer spending in the first quarter 2009

The GDP (Gross Domestic Product) is a leading economic indicator. US GDP is a measure of the total goods and services output within the US borders. (NB Total here, like everything else, is relative, as we learned a while ago from the more diligent economists in Greece.)

The report from the Commerce Department this morning indicated a 6.1 percent annual rate drop in GDP for the first 3 months of 2009.

On the positive side, consumer spending - which accounts for over two-thirds of the economic activity, rose 2.2 percent.