Real gross domestic product rose at an annual rate of 2.7 percent in the third quarter, the Commerce Department reported Thursday, up from an initial estimate of 2 percent.
- It was the fastest pace since the end of last year. GDP rose by 1.3 percent in the second quarter of this year and 2 percent in the first.
- Economists surveyed by MarketWatch expected the number to be revised to 2.8 percent. The second GDP estimate is based on more complete information than the initial reading of 2 percent reported last month.
- The upward revisions mean the economy was in better shape heading into negotiations over the year-end fiscal cliff, a combination of tax hikes and spending cuts that the nonpartisan Congressional Budget Office has warned could throw the economy back into recession if Congress fails to act.
- The Commerce Department will release a third estimate on Dec. 20.