News / Economy

US Economy Grows Faster Than Expected

Board above trading floor of the New York Stock Exchange shows closing number for the Dow Jones industrial average, Dec. 18, 2013.
Board above trading floor of the New York Stock Exchange shows closing number for the Dow Jones industrial average, Dec. 18, 2013.
VOA News
The U.S. economy advanced at a healthy 4.1 percent pace in the July-to-September period, stronger growth than the government first estimated.
 
The Commerce Department said Friday that consumer spending, which accounts for 70 percent of the country's economy, grew faster in the third quarter than previously believed. It said American households bought more big-ticket items such as refrigerators, while also spending more on daily services and healthcare.
 
The July-to-September advance is the fastest in two years and the second biggest since the country's steep recession officially ended in mid-2009.
 
The government had previously estimated third-quarter growth would be 3.6 percent, already well above the 2.5-percent growth seen in the second quarter.
 
Economist Mark Vitner at Wells Fargo Bank says forecasters are optimistic that the U.S. economy will continue to advance in 2014.
 
"Expectations for 2014 are being increased. Our own forecast is around 2.5 percent," said Vitner. "We're more optimistic — and I think many forecasters are more optimistic — about the economy going into 2014 than we've been at any other time since the recession ended."
 
With the steady advance of the world's largest economy, policy makers at the U.S. central bank, the Federal Reserve, this week agreed to start trimming their direct support of the American economy. For more than a year, the Fed has pumped $85 billion a month into the economy with its purchase of securities, but starting next month it will cut that figure to $75 billion.
 
Since the central bank started the asset purchases, the U.S. has added nearly three million jobs to its labor market and the jobless rate has fallen to 7 percent. Stock indexes on major on New York exchanges are at near record levels.

You May Like

China Investigates Former Powerful Security Chief

Former security chief and member of Politburo Standing Committee, Zhou Yongkang, under investigation for suspected 'serious disciplinary violation' More

India, US Look to Reset Ties During Kerry Visit

This week's talks will be first high level interaction between two countries since Prime Minister Narendra Modi took charge More

Video Young African Leadership Program Renamed to Honor Mandela

YALI program, launched by President Obama in 2010, aims to build skills in business, entrepreneurship, public management and civic leadership More

This forum has been closed.
Comments
     
There are no comments in this forum. Be first and add one

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Vietnamese Staging Chinese Product Boycott After Oil Rig Spati
X
Reasey Poch
July 28, 2014 7:18 PM
China recently pulled an oil rig from an area of the disputed South China Sea that Vietnam also claims. Despite the action, the incident has had a lingering effect on consumers in Vietnam. VOA's Reasey Poch reports from Hanoi on an effort to boycott Chinese products.
Video

Video Vietnamese Staging Chinese Product Boycott After Oil Rig Spat

China recently pulled an oil rig from an area of the disputed South China Sea that Vietnam also claims. Despite the action, the incident has had a lingering effect on consumers in Vietnam. VOA's Reasey Poch reports from Hanoi on an effort to boycott Chinese products.
Video

Video ESA Spacecraft to Land on a Comet

After a long flight through deep space, a European Space Agency probe is finally approaching its target -- a comet millions of kilometers away from earth. Scientists say the mission may lead to some startling discoveries about the origins of the water on earth. VOA’s George Putic has more.
Video

Video Young Africans Arrive in US for Leadership Program

President Barack Obama's Young African Leadership Initiative has brought hundreds of young Africans to the United States for a six-week program aimed at building their knowledge and skills in fields such as public administration and business. Out of the 50,000 young Africans who applied for the program, just one percent was accepted. VOA's Laurel Bowman caught up with some of those who made the cut and has this report.
Video

Video In Honduras, Amnesty Rumors Fuel US Migration Surges

False rumors in Central America are fueling the current surge of undocumented young people being apprehended at the U.S. border. The inaccurate claims suggest the U.S. will give amnesty to young migrants from the region. As VOA's Brian Padden reports from Honduras, these rumors trace back to President Obama's 2012 executive order to halt deportations for some young undocumented immigrants already living in the United States.
Video

Video Students in Business for Themselves

They're only high school students, but they are making accessories for shoes, fabricating backpacks and doing product photography - all through their own businesses. It's the result of a partnership between a non-profit organization that teaches entrepreneurship and their schools. VOA's Mike O'Sullivan and Deyane Moses met the budding entrepreneurs near Los Angeles.
Video

Video Astronauts Train in Underwater Lab

In the world’s only underwater laboratory, four U.S. astronauts train for a planned visit to an asteroid. The lab - called Aquarius- is located five kilometers off Key Largo, in southern Florida. Living in close quarters and making excursions only into the surrounding ocean, they try to simulate the daily routine of a crew that will someday travel to collect samples of a rock orbiting far away from earth. VOA’s George Putic has more.

AppleAndroid

World Currencies

EUR
USD
0.7305
JPY
USD
101.53
GBP
USD
0.5830
CAD
USD
1.0656
INR
USD
60.075

Rates may not be current.