US economy shrank by 3.5% in 2020, the worst year since second world war

• Coronavirus pandemic brought country to a shuddering halt
• Economy rose by just 1% in last three months

The US economy shrank by 3.5% in 2020, the worst year for growth since 1946, as the coronavirus pandemic brought the country to a shuddering halt.

In the last three months of the year the economy rose by just 1% compared with the previous quarter, according to the Bureau of Economic Analysis - equivalent to an annualized rate of 4%.