Real Government Consumption Expenditures and Gross Investment

GCEC1 • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

3,995.08

Year-over-Year Change

9.54%

Date Range

1/1/1947 - 4/1/2025

Summary

The Real Government Consumption Expenditures and Gross Investment trend measures inflation-adjusted government spending on goods and services, as well as public investment in infrastructure and capital projects. This indicator is a key component of GDP and a vital metric for understanding the government's fiscal stance and its impact on the broader economy.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This series tracks the real (inflation-adjusted) value of consumption and investment spending by federal, state, and local governments in the United States. It represents the portion of total GDP attributable to government activity, providing insight into the public sector's economic role and influence.

Methodology

The data is compiled by the U.S. Bureau of Economic Analysis using information from government financial accounts and other sources.

Historical Context

Economists and policymakers monitor this trend to assess the government's fiscal policy, its impact on economic growth, and the public sector's contribution to overall economic performance.

Key Facts

  • Government spending accounts for approximately 18% of U.S. GDP.
  • Real government consumption and investment has grown at an average annual rate of 1.5% since 2010.
  • Defense spending makes up around 50% of total government consumption and investment.

FAQs

Q: What does this economic trend measure?

A: The Real Government Consumption Expenditures and Gross Investment trend measures inflation-adjusted government spending on goods, services, and public investment projects.

Q: Why is this trend relevant for users or analysts?

A: This metric provides insight into the government's fiscal stance and its impact on overall economic growth, making it a crucial indicator for economists, policymakers, and market analysts.

Q: How is this data collected or calculated?

A: The data is compiled by the U.S. Bureau of Economic Analysis using information from government financial accounts and other sources.

Q: How is this trend used in economic policy?

A: Economists and policymakers monitor this trend to assess the government's fiscal policy, its impact on economic growth, and the public sector's contribution to overall economic performance.

Q: Are there update delays or limitations?

A: The data is published quarterly with a typical delay of one to three months, and may be subject to periodic revisions by the statistical agencies.

Related Trends

Citation

U.S. Federal Reserve, Real Government Consumption Expenditures and Gross Investment (GCEC1), retrieved from FRED.