Don't miss

Replay


LATEST SHOWS

FOCUS

Video: Far right at the gates of power in Austria

Read more

FRANCE IN FOCUS

FRANCE 24 turns 10: A look behind the scenes

Read more

EYE ON AFRICA

Gambia's Yahya Jammeh concedes defeat in presidential polls

Read more

MEDIAWATCH

Gambians herald 'new independence' after Jammeh defeat

Read more

THE WORLD THIS WEEK

Hollande, the One Term President (part 1)

Read more

THE WORLD THIS WEEK

Trump Keeps 'Em Guessing, Italian Referendum, Austrian Election, Castro's Death (part 2)

Read more

FASHION

Discovering the winter 2016/2017 men's fashion collections in Paris

Read more

ENCORE!

Rendez-vous on '42nd Street' as the meta musical comes to Paris

Read more

REPORTERS

Uzbekistan reinforces its tight grip on election and country

Read more

Business

Consumer spending drives boost in US growth

Text by News Wires

Latest update : 2010-10-29

The US economy grew by 2% in the third quarter according to the Commerce Department. Driving the growth was consumer spending, which increased by 2.6%.

AFP - The US economy grew two percent in the third quarter, the Commerce Department said Friday, boosted by a rise in consumer spending.
  
The world's largest economy showed more signs of life in the July-September period, after slowing to an annual rate of 1.7 percent in the second quarter from 3.7 percent in the first.
  
"The increase in real GDP in the third quarter primarily reflected positive contributions from personal consumption expenditures," a statement said.
  
With nearly one in 10 workers without jobs, consumers have tended to keep their wallets shut, creating a vicious circle for the spending that accounts for 70 percent of US gross domestic product.
  
That trend showed signs of easing, as spending increased 2.6 percent in the third quarter, compared with an increase of 2.2 percent in the second.
  
The positive trend was pared back by a 17-percent increase in imports, which directly reduce GDP as cash flows out of the economy.
  
Although the US economy has grown in each of the past four quarters, growth has not been strong enough to bring down high unemployment, stuck for the past two months at 9.6 percent.
  
The growth estimate is subject to revision.

Date created : 2010-10-29

  • ECONOMIC CRISIS

    US economy posts promising 3.5% GDP growth in Q3

    Read more

COMMENT(S)