Government Consumption & Investment

Federal, state, and local government spending on goods, services, and infrastructure

3.78$T

Trend YoY growth is -2.0%, slowing by 13 bps/year over the last 95Y. Deviations have remained above trend for 14 consecutive periods. Latest: +1.9%, 3.9 pp above trend, a 0.6σ deviation. The latest YoY reading is depressed by 4.3 pp due to an tough comparison base from 2024. At current levels, YoY would fall to +0.0% by Jan '26 as comparisons tighten.

Level

YoY %

y = 10.8% 13 bps/yr · t

Deviation from trend

Forecast

Projected value by forecast vintage ($T)

Projected value ($T)

Forecast made in201820192020202120222023202420252026202720282029MAPE
20183.393.463.603.673.673.673.783.893.984.214.474.77329%
20193.513.623.693.703.693.803.924.014.274.574.91453%
20203.563.663.663.663.773.873.964.174.404.66401%
20213.553.583.563.653.733.803.813.823.82121%
20223.533.483.533.593.623.433.222.99210%
20233.623.633.703.763.723.673.60106%
20243.713.813.904.044.214.4038%
20253.783.914.074.274.51
20263.914.074.274.51

YoY change forecast

Forecast made in201820192020202120222023202420252026202720282029MAPE
2018+2.1%+2.1%+2.6%+3.0%+3.5%+3.9%+4.4%+4.8%+5.3%+5.7%+6.2%+6.7%329%
2019+3.5%+3.1%+3.6%+4.1%+4.6%+5.1%+5.6%+6.1%+6.6%+7.0%+7.5%453%
2020+1.4%+2.8%+3.2%+3.6%+4.0%+4.4%+4.8%+5.2%+5.6%+6.0%401%
2021-0.3%+1.0%+0.9%+0.7%+0.6%+0.5%+0.4%+0.2%+0.1%121%
2022-0.6%-1.5%-2.4%-3.3%-4.3%-5.2%-6.1%-7.0%210%
2023+2.5%+0.1%-0.3%-0.6%-1.0%-1.4%-1.8%106%
2024+2.5%+2.6%+3.1%+3.6%+4.1%+4.6%38%
2025+1.9%+3.4%+4.2%+4.9%+5.7%
2026+3.4%+4.2%+4.9%+5.7%

Forecasts use ordinary least-squares linear regression fitted to the YoY change series over a rolling 5Y window. Each row shows a vintage — the forecast as it would have appeared at that point in time. Projected values apply the forecasted YoY change to the prior year's level, chaining forward where actuals are unavailable. MAPE measures forecast accuracy against realized values. These are mechanical trend extrapolations, not economic models.