What drove the GDP contraction in Q1 2025?

What drove the GDP contraction in Q1 2025?

  • Correct Answer: Reduced consumer spending
  • Import surge
  • Lower unemployment
  • Increased exports

Explanation: A 50.9% surge in imports, driven by tariff anticipation, and a 5.1% decline in federal spending drove the GDP contraction, per BEA.

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