US Recession Recovery Shows Signs of Stalling with Just 4.0% GDP and 3.0% Nonresidential Construction Growth in Q4 Compared to 33.4% Q3 GDP growth, 4.0% represents drastic slowing, 'An indication of an economy still beset by uncertainty and interruption. Economic momentum has been decelerating rapidly since the summer,' says ABC's chief economist January 28, 2021 Bureau of Economic Analysis The U.S. economy expanded at an annualized 4.0% rate in the fourth quarter of 2020 as the nation’s recovery from last spring’s economic devastation continued. Nonresidential investment in structures increased at a 3.0% annualized rate in the fourth quarter. “Some observers may say that the economic recovery that began in May 2020 is neatly in place, but that is simply not true,” said ABC Chief Economist Anirban Basu. “After expanding 33.4% during the third quarter, the U.S. economy expanded only 4% during the fourth, an indication of an economy still beset by uncertainty and interruption.