Economic Growth

economic growth: The Commerce Department said Friday that consumer spending rose just 0.1 per cent in July from the previous month. That's slower than June's 0.6 per cent increase. Consumers cut their spending on long-lasting manufactured goods, such as cars and appliances. Spending on services was unchanged, according to CTV. Consumers' spending drives roughly 70 per cent of economic activity. The weak spending report led some economists to sound a more pessimistic note about economic growth in the current July-September quarter. It follows July data showing steep drops in orders for long-lasting manufactured goods and new-home sales and WASHINGTON -- U.S. consumers barely increased their spending in July as their income grew more slowly, held back in part by steep government spending cuts that reduced federal workers' salaries. The tepid gains suggest economic growth is off to a weak start in the July-September quarter. Income rose 0.1 per cent in July following a 0.3 per cent June gain. Overall wages and salaries tumbled $21.8 billion from June -- a third of the decline came from forced furloughs of federal workers. (www.immigrantscanada.com). As reported in the news.