The U.S economy finally grew in the third quarter of this year, the Commerce Department said on Thursday. U.S. gross domestic product grew at a 3.5 percent annual rate from July through September. This marks the first quarterly gains since March 2008.
The White House and economists cautioned that the gains were fragile.
"Since the federal stimulus reached its maximum effect in the third quarter and the unemployment rate remains high, there's uncertainty over the sustainability of the recovery," according to the Wall Street Journal.
Much of the gains come from increased consumer spending, spurred by federal rebate programs—such as Cash for Clunkers and a tax credit for first-time hombuyers. However, these programs have, or nearly have expired, so it remains to be seen if the GDP rise will continue.
(via The Wall Street Journal)
Previously:
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