This article talks about the the flexibility in the US economy. After being flat in the month of September, consumer spending increased by 0.2% in the month of October according to the Commerce Department. Two-thirds of the US economic activity is made up by consumer spending. Low gasoline prices and the ascending labor market are supporting consumer spending. The government stated that the economy grew at a 3.9% annual pace in the third quarter. Salary increased 0.2% in October after a similar gain in the previous month. With identical income growth and consumer spending, the saving rate was kept at a constant 5.0% The Balance pace of consumer spending and weak gasoline price, kept the inflation under wrap.In the pass 12 months throughout October, the personal consumption expenditures (PCE) price index hiked 1.4% after advancing by the same margin in September. Prices increased 0.2% after gaining 0.1% in September, not including food and energy. The PCE price index increased 1.6% in the 12 months through October. Both price range continue to run below the US central bank's 2% inflation target.
The government function involved with this article is stabilizing the economy. This article deals with controlling inflation and economic growth. It talks about the consumer spending and how it contributes to the economic growth. By supporting consumer spending, rising labor market and lower prices, helps the economy form slow growth China, as well as recession in Japan.
The government function involved with this article is stabilizing the economy. This article deals with controlling inflation and economic growth. It talks about the consumer spending and how it contributes to the economic growth. By supporting consumer spending, rising labor market and lower prices, helps the economy form slow growth China, as well as recession in Japan.
