The economy grew more slowly last quarter. Here's what GDP actually measures.

Originally reported as: “GDP expands 1.8% annualized in Q2, decelerating from prior quarter”

The latest report on gross domestic product, or GDP, showed the economy still growing but at a slower pace than the quarter before. GDP is the broadest measure of a country's economic activity, adding up the value of everything it produces. Slower growth doesn't mean the economy is shrinking, only that it's expanding less quickly. Economists watch the trend closely because a sustained slowdown can eventually tip into a recession.