Friday, October 29, 2010

Economic growth weak in third quarter

The numbers are in and they're just mediocre. GDP grew at an annual rate of 2% for the 3rd Quarter. Many analysts and economists have stated that these numbers indicate that a double-dip recession is unlikely. Yet, expansion, which usually is indicated by growth rates of about 3.6% is unlikely as well. Sadly, growth will be drastically improving anytime soon according to forecasters. However, consumer spending was up 2.6%, which is a bright spot. Or it would be except that the numbers indicate that people dipped into their savings instead of gaining more disposable income. Oh well, here's to a slow recovery.

1 comment:

  1. One of the problems might be the Fed itself. For months now they have been trying to recover the economy by pumping more money into it. This is why we are seeing each day higher prices and a weak dollar.

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