Modest Growth In OECD GDP

Private consumption was the main contributor to the modest growth of 0.2% in real GDP in the OECD countries in Q1 of 2014 compared with 0.5% in the previous quarter. Government consumption and investment also added slightly to GDP growth but net exports (-0.1%) and destocking (-0.2%) contributed negatively. Gross fixed capital formation added 0.1% points to real GDP growth.

The OECD G7 countries contributions in percentage points: Japan contributed real GDP growth of 1.6%, Germany and the UK contributed 0.8%, Canada 0.3%, France contributed flat economic growth, Italy made a negative contribution, -0.1% and the US contributed -0.7%.

OECD GDP Growth Slows But Stays Positive

Real GDP growth in the OECD countries slowed down to 0.2% in Q4 2011 compared to 0.6% growth in Q3. The major components were all included except for changes in inventories. There was slower growth in private consumption, investment and net exports but they remained positive. Government consumption was the main contributor to the slowdown decreasing growth by 0.1%.

The broad based slowdown in demand differed at national level reflecting amongst other things differences in rates of economic growth. GDP growth was strongest in the US at 0.7% largely due to private consumption. Private consumption was also the main driver in Canada which showed growth on 0.4%. France remained positive at 0.2%. Japan and Germany both reported negative growth of 0.2%. Other countries with negative GDP growth in Q4 2011 included Italy -0.7% and the UK with 0.3%