Mining Review

Minerals contribute to the U.S. gross domestic prod-uct (GDP) at several levels?mining, processing and manufacturing finished products. In 2008, the estimated growth rate for the real GDP of the United States was 1.1 percent and the nominal GDP was about $14.3 trillion (Table 1). Trends in various sectors of the domestic economy are often reflected in mineral production and consumption rates. For instance, continued declines in the U.S. housing market during 2008 were reflected in further reductions in the production and consumption of cement, clays, construction sand and gravel and crushed stone (mineral commodities that are used almost exclusively in construction), and those associated with the related manufacture of goods, such as ceramic tile, heating and air conditioning equipment, paint, plumbing and sanitaryware, roofing, wiring and wallboard ? all used by the housing industry. The widespread effects of the slowing domestic economy became more apparent in the last three to six months of 2008 when prices for many mineral commodities declined sharply after reaching record highs earlier in the year, indicating significantly lower demand for those materials or products containing them.