Real gross domestic product (GDP) increased in all 50 states and the District of Columbia, in the second quarter 2018 compared to the first quarter of 2018. U.S. Bureau of Economic Analysis reported the real GDP growth rates, measured on a seasonally adjusted annual rate basis, ranged from 6.0% in Texas to 2.5% in Delaware. Boosted by the growth in majority of the industries, led by Information; real estate and rental and leasing; and professional, scientific, and technical services, the national real GDP growth accelerated to 4.2% in the second quarter, up from 2.2% in the first quarter.
Regionally, Southwest and the Plains regions recorded the highest growth rates for the second quarter of 2018. The Mideast region reported the lowest growth during this time at 3.3%. Compared to the second quarter of 2017, except the Far West, all the regions recorded higher growth levels during this time period.
According to the industry statistics, 16 of 22 industry groups contributed to the overall 4.2% increase in real GDP in the second quarter. Mining was the leading contributor to the acceleration in real GDP growth in the second quarter. Real value added (a measure of an industry’s contribution to GDP) for the industry group increased 11.7%, after decreasing 18.0% in the first quarter. In the Utilizes industry group, real value added increased 19.1% in the second quarter, after decreasing 7.2% in the first quarter. For the information services industry group, real value added increased 13.4% in the second quarter, after increasing 4.3% in the first quarter.
As contributions to Percent Change in Real GDP by Industry Group, Professional and business services (0.96%) and the Information (0.70%) sectors had the largest impact.
Texas, which recorded the highest real GDP growth rate of 6% for the second quarter of 2018, the largest contributions came from Utilities, Mining, and Durable goods manufacturing industry groups. Nondurable goods manufacturing, Finance and insurance, and Transportation and warehousing were the drags to the state economy.