Today it was revealed that after a revision of the figures from the second quarter of the year by the US Department of Commerce that economic growth in the United States rose at an annual rate of 4.2%.
This is after initial figures suggested that the growth had rose by 4.0% and was a reflection of stronger business spending and exports.
Not since the third quarter of 2013 has there been a fast pace of growth and it’s the greatest indication yet that the US’s economic recovery is finally taking hold.
After a winter that saw gross domestic product go in reverse, the data that was released by the government today highlights, that the growth is not just a on-time rebound as the economy continues to improve across a broad range of data.
It is believed that the increase in employment in America has led to consumer confidence and that this is where the increase has more than likely come from. What also is helping is the fact that many people are continuing to pay off their debts, and this together with low interest’s rate has meant that the cost to pay off a mortgage is lower. Other forms of borrowing such as car loans are another key factor in the sudden emergence of the US’s economy recovery.
Economists originally believed that the poll for economic growth was to be revised down to 3.9%, but the growth comes as a real shock and now it has lead experts to believe that the progression will be steady rather than downwards after the poor result of 2.1% back in the first quarter, which was blamed solely on the harsh winter weather that discouraged shoppers and drastically hampered manufacturing.
