Economic Growth in U.S. Slows Sharply

[villager]

Source: AP

Recovery loses speed as consumers turn cautious

Associated Press

WASHINGTON — The recovery lost momentum in the second quarter as growth slowed to a 2.4 percent pace, its most sluggish showing in nearly a year and too weak to drive down unemployment.

Weaker spending by consumers, less growth coming from companies restocking shrunken stockpiles and a bigger drag from the nation's trade deficits were the main factors behind the second quarter's slowdown.

The Commerce Department's report released Friday also showed that the economy grew at a 3.7 percent pace in the first three months of this year. That was much better than the 2.7 percent pace estimated just a month ago.

Still, the recovery has been losing power for two straight quarters. That raises concerns about whether it will fizzle out. Or worse, tip back into a "double-dip" recession.

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Read more: http://www.latimes.com/business/la-fiw-gdp20100731,0,4080209.story

[Odin2005]

1. What growth?

[wordpix]

2. there was a recovery? i missed that

[lib2DaBone]

3. They cut unemployment benefits (twice) and went on vacation..

They laid off 10,000 Census workers, then CONgress refused to change the tax laws that reward companies for offshoring jobs to China. Business as usual.

So what did they expect?

[barb162]

4. I missed that very short recovery. n/t