Just out today is the actual number for GDP growth for the 1st quarter of 2012, showing a slowing of growth to an annual rate of 1.9% from the 4th quarter 2011 of 3.0%, a 36% drop in activity.
The 1st quarter advance estimate was 2.2% GDP growth but with more information now available, we have a second estimate of 1.9%. These are annual growth rates in percent change from the preceding quarter.
A slowing economy reduced prices, especially for commercial real estate, because it reduces demand, but in the long run the lower demand results in lower interest rates which eventually will increase the return on investment and spur growth.
