Summary
The U.S. economy grew by 4.3% in the third quarter of the year, due to increased consumer spending, exports, and government spending. Despite this growth, inflation remains high, affecting economic stability.
Key Facts
- The U.S. economy expanded by 4.3% in the third quarter.
- Growth was stronger than the expected 3% predicted by analysts.
- Consumer spending increased to a 3.5% annual rate last quarter.
- The gross domestic product (GDP) measures the total output of goods and services.
- Inflation, measured by the PCE index, rose to a 2.8% annual rate.
- Core PCE inflation, excluding food and energy, was 2.9%.
- Consumer spending makes up about 70% of U.S. economic activity.
