|U.S. economy grows in fourth-quarter 2013|
|Written by Christine D. Johnson|
|Monday, 03 February 2014 01:14 PM America/New_York|
The U.S. economy grew at a solid 3.2% annual rate in the October-December quarter, the Commerce Department said Thursday. Consumer spending was the strongest it has been since the fourth quarter of 2010.
“Today’s advance estimate of real GDP shows that our economy continues to recover from the Great Recession," said U.S. Secretary of Commerce Penny Pritzker on Thursday. “While a lot of work remains to help American businesses grow, create jobs and increase wages for our workers, we have also made progress. Thanks to the resilience, grit and hard work of the American people and our businesses, more than 2 million jobs were created last year. Through our ‘Open for Business Agenda,’ the Department of Commerce will keep up efforts to drive advanced manufacturing, support innovation, increase trade and investment, and help our workers with the skills and training needed to succeed in a competitive global economy. We are working every day at the Commerce Department to create growth and build real and lasting economic security for all Americans.”
The increase followed a 4.1% growth rate in the July-September quarter. For 2013 as a whole, the economy grew only 1.9%, which was weaker than the 2.8% increase in 2012, according to the Commerce Department. Higher taxes and federal spending cuts contributed to the economy’s weakness.
Healthy consumer spending reflected gains in purchases of durable and nondurable goods as well as services.