Gross domestic product in the euro zone plunged 1.5% on a quarterly basis in the final three months of 2008, the statistical agency Eurostat reported Friday. Consensus expectations were for a 1.3% quarterly decline, although economists had subsequently expected a steeper plunge after weaker-than-expected national GDP data from Germany, France, Italy and Spain. Compared to the same quarter in 2007, fourth-quarter GDP fell 1.2%. For 2008, euro-zone GDP grew by just 0.7%. The fourth-quarter decline follows quarterly contractions of 0.2% in the second and third quarters.
