According to reports from UMass Donahue’s MassBenchmarks and the U.S. Bureau of Economic Analysis (BEA), Massachusetts saw a 1.1% increase in its real gross state product (GDP) during the fourth quarter of 2024, while the nation as a whole experienced a higher growth rate of 2.3%. However, this was not consistent throughout the year as Q1 showed faster growth for Massachusetts compared to other states.
The latest data suggests that there has been a slowdown in economic activity in Massachusetts with minimal employment growth, increasing unemployment rates and sluggish spending on taxable goods. In contrast, although there are signs that the overall pace may be slowing down slightly for the United States economy, it is still showing moderate growth.
Based on current projections by MassBenchmarks and BEA forecasts from early January, it is expected that real GDP for Massachusetts will grow at an annualized rate of 0.7% in Q1 and then increase to 1.0% in Q2 this year; whereas economists surveyed by The Wall Street Journal predict U.S GDP will grow at rates of approximately 2.2% and then drop slightly to around 2.% during those same quarters respectively.
In summary: Despite some fluctuations throughout last year’s quarters where MA outpaced national averages – recent figures show slower economic performance within MA compared with US trends; however both regions are still expected experience continued but modest expansion over next two fiscal periods according various sources including WSJ & BEA .
