The U.S. economy improved in the fourth quarter with the nation’s gross domestic product rising at a 4% annualized rate. The Q4 report from the Commerce Department follows a record quarterly gain in the third quarter. But despite the strong second half, the U.S. economy contracted 3.5% in 2020. It was the first annual drop since the financial crisis and the most since 1946.

There is wide agreement that the economy will improve in 2021 as long as vaccinations proceed as planned.  “We’re a long way from a full recovery,” said Federal Reserve Chairman, Jerome Powell, on the eve of the Commerce Department’s report in late January. “There’s nothing more important to the economy now than people getting vaccinated. Read more >

Download Q4 2020 Economic Reports