Advance estimates of real GDP suggest that the economy rebounded in the third quarter from its lackluster performance in 1995:IIQ. The 6% increase in hours worked for October is equally encouraging and is indicative of continued strides in output growth in the coming months. Increases in government spending and consumer durables, up 3.1% and 11.7%, respectively, were major sources of strength. Investment activity, particularly in equipment, also improved. Residential investment, while still off slightly for the year, maintained the strong advances observed in recent months.
Suggested citation: “Economic Activity,” Federal Reserve Bank of Cleveland, Economic Trends, no. 95-11, pp. 08-09, 11.01.1995.