Colorado GDP shrinks 2% in second quarter

Real gross domestic product in Colorado took a step backward in the second quarter, declining at an annualized rate of 2%, according to preliminary data released Friday by the Bureau of Economic Analysis.

Real GDP is an inflation-adjusted measure reflecting the value of goods and services produced in an economy.

That means that Colorado fared worse than the U.S. economy overall, which posted a real GDP decline of 0.6% in the second quarter. Colorado ranked 39th nationwide in terms of percentage change in GDP.

The state GDP numbers are preliminary. Initial reports for the first quarter showed a decline of 1.9% in Colorado, but the BEA now shows revised, positive real GDP growth of 2.9%.

Second-quarter GDP decreased in 40 states and the District of Columbia. Texas topped the nation in GDP growth, at 1.8%, while Wyoming recorded the biggest decline, at 4.8%.

Personal income increased in all 50 states and the District of Columbia, at an annual rate of 5.8%. Colorado’s personal income increased by 6.5%.

Colorado’s GDP decline was led by the Information sector, down 1.19%, Construction, down 1.05%; and mining, quarrying and oil and gas extraction, down 0.95%. Read the full report here.

Source: BizWest