![]() ![]() And purchases of services rose at a 7.9% rate, down from an 11.5% annual rise in the previous quarter. Sales of clothing and other nondurable goods slowed to a modest annual gain of 2.6%. ![]() In consumer spending, purchases of durable goods, like autos and appliances, fell at a sizable 26.2% rate. Thursday’s report from the government, the first of three estimates of last quarter’s GDP, showed widespread weakness. Inflation has emerged as a threat to the economic recovery and a key concern for the Federal Reserve as it prepares to start withdrawing the emergency aid it provided to the economy after the recession struck last year. A resurgence of consumer spending could help energize the economy as the year nears a close.Īt the same time, though, rising prices, especially for gasoline, food, rent and other staples, are imposing a burden on American consumers and eroding the benefits of higher wages. Airlines have reported growing passenger traffic, businesses are investing more and wages are increasing as employers struggle to draw more people back into the job market. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |