In the final quarter of 2011, the US economy grew by 2.8% as the consumers ramped up their spending and businesses boosted their production.
The first reading of GDP growth of the commerce department in the fourth quarter was slightly below economists’ expectations of a 3% annualised pace. However, it was an acceleration from the third quarter’s tepid increase of 1.8%.
Growth was lifted by a 2% rise in consumer spending, compared with 1.7% in the third quarter. Even though, it was still lower than the forecast of 2.4%.
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