The economy of United States is growing with slow pace. The experts hold the opinion that the reason of slow growth is due to the less consumer spending. They claim that the exports of the country have also slowed down causing the GDP to fall at 2.4 percent. But, they hope that, the economy of the country would surely improve its growth in the few months to come.
Prior to this, the GDP of the country was about 4.1 percent in the third quarter and it has sharply down. On the other hand, Commerce Department said that “the figures are subjected to change as the available figures are not final”.
The weaker consumer spending and consistent downfall in the real estate market, have grossly affected the GDP, says an expert. The report of Commerce Department claims that “The consumer spending contributing points to GDP has lessened down from 2.26 percentage points to 1.76 percentage points”.
No doubt, the unfriendly weather of United State is also one of the main culprits. It did not only affect the lives of the people but also affected the corporate sector. But, economists are quite optimist over the pace of GDP growth. They say that “This year will be the strongest year in terms of economic growth”.
Needless to say, Paul Ashworth the chief economist of Capital Economics said that “the economy of our country is slowly and gradually improving and the pace of growth should be considered as bad omen”.
Moreover, the spending of the government has also slowed down to larger extent and there are possibilities that improvement in the exports of the country may help its economy to improve more GDP growth in few months to come.