The U.S. economy expanded at a 1.4 percent annual rate in the fourth quarter of 2025, with the October-November government shutdown subtracting approximately one percentage point from growth, according to the Bureau of Economic Analysis’s advance estimate released Friday.
Without the shutdown, the economy would have grown at roughly 2.4 percent, still a deceleration from the third quarter’s blistering 4.4 percent pace, but a more modest slowdown. The report underscores how the 43-day government closure weighed on economic activity even as the private sector continued to expand.
Consumer spending and business investment drove the quarter’s…
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