Not only will the upcoming iPhone 5 rake in tons of cash for Apple, it could also boost the overall U.S. economy. At least that’s according to J.P. Morgan’s chief economist, Michael Feroli.

us flag

In a note to clients on Monday, Feroli said sales of the smartphone could add between 0.25% to 0.5% to fourth quarter annualized growth in the U.S., Reuters reported.

“Calculated using the so-called retail control method, sales of iPhone 5 could boost annualized GDP growth by $3.2 billion, or $12.8 billion at an annual rate,” he wrote.

Analysts at the financial services firm project that Apple will sell 8 million iPhone 5s in the fourth quarter, each with an expected sales price of around $600, according to Reuters.

With $200 in discounted import component costs, the U.S. government can include $400 per phone into its GDP for the fourth quarter, the agency said.

via Sales of iPhone 5 Could Boost U.S. Economy, Analyst Says [REPORT].

About the author

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Sign Up for Our Newsletter

Get notified of our weekly selection of news

You May Also Like