Recession Coming To End, GDP Up By 3.5%

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US GDP GROWS BY 3.5%

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uploaded by Sudha Krishna

It looks like the longest and deepest economic downturn or recession since the great depression is coming to end as the US economy grew by 3.5%

The reason for the growth?  People are beginning to spend again

• Consumer spending turned up strongly. Spending on new cars and trucks was a big contributor,
reflecting the federal “cash for clunkers” program, which was in effect in July and August.
• Housing increased for the first time in 15 quarters.

• Inventory investment, exports, and government spending also added to growth.

U.S. Commerce Secretary Gary Locke says,  "Today's numbers indicate that the tough decisions this administration made to rescue the economy from the abyss were correct. We're headed in the right direction, and even thought there are still too many Americans out of work and still much work to be done, without the action taken in the early days of this administration, the pain families are feeling today would be much worse." 

The recession won't be officially over until we see another quarter of growth like the one the United States just had.