Open

Coming up

Don't miss

Replay


LATEST SHOWS

FASHION

Fashion: What happened in 2014

Read more

WEB NEWS

Providing internet to rural areas

Read more

BUSINESS DAILY

Search for AirAsia jet continues

Read more

IN THE PAPERS

'If the missing AirAsia plane crashed, 2014 was one of deadliest years in almost a decade'

Read more

WEB NEWS

The best viral Christmas ads of 2014

Read more

IN THE PAPERS

'Collective behaviour problem' because of snow in Alps

Read more

WEB NEWS

290 Syrian cultural sites damaged by civil war

Read more

FRANCE IN FOCUS

France: 2014 in review

Read more

#THE 51%

South Africa: Taking a stand against child marriage

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)