Government releases revised GDP growth rate

Revised GDP growth was not as high as first reported.
Revised GDP growth was not as high as first reported.
A revised account of the country's gross domestic product showed a drop from the level previously reported.

According to the U.S. Department of Commerce's Bureau of Economic Analysis, GDP growth in the third quarter increased at an annual rate of 2.8 percent when compared to the second quarter. Originally, GDP growth, which would include production of farm equipment, was reported to have grown by 3.5 percent during the third quarter.

Rebecca Blank, undersecretary for the Commerce Department, said that the increase in GDP is the largest seen since 2007's third quarter.

"Consumer spending, residential construction, exports and government expenditures all posted favorable gains. The downward revision reflected lower consumer spending and investment in structures, and higher imports," Blank said, adding that the fourth quarter should continue to see growth.

Regarding potential increases in residential construction, the federal government furthered a tax credit which has been tied to an increase seen in the housing market. First-time homebuyers now have until April 30 to cash in on the $8,000 credit, which was originally set to expire this month.