The COVID Economy by the Numbers

COVID-19 has forced the U.S. economy to shift hard. The numbers show just how weird this year has been in a historical context.

GDP growth has flown out the window.

GDP Growth this time last year: 2.3%

GDP Growth this quarter: -9.1%

(By the way, quarterly GDP has never experienced a drop larger than 3%)

What about retail sales? Also out the window.

Drop in retail sales between Feb to March 2020: 8.7%

(The largest drop since the Census Bureau has started tracking the metric)

The good news? Americans are stashing their cash.

American individual savings rate in April: 34%

(Resulting from lower spending and federal transfer payments)

Source: Brookings Institute

Photo Courtesy of Hello I’m Nik