US consumer spending roars back, exports surge in third quarterBusiness | 29 Oct 2020 9:07 pm
US consumer spending drove the rebound in the third quarter.
Consumer spending grew at an annual pace of 40.7 percent, following a 33.2 percent slump in the second quarter, The Guardian reports.
Business investment jumped by 20.2 percent, after a 27.2 percent fall in the second quarter.
Exports surged at a 59.7 percent rate, following a 64.4 percent slump in the previous quarter
The Bureao of Economic Analysis explained:
The increase in real GDP reflected increases in personal consumption expenditures, private inventory investment, exports, nonresidential fixed investment, and residential fixed investment that were partly offset by decreases in federal government spending (reflecting fewer fees paid to administer the Paycheck Protection Program loans) and state and local government spending.''
Personal consumption included spending on healthcare, food services, accommodation, motor vehicles and parts, clothing and footwear, the BEA adds