Thursday, October 29, 2009

Economy is growing, but...

where are the JOBS at?

These economists can continue on this drum roll all they want, but until we see jobs being created with LIVABLE wages, it is a smoke screen to the American Public. Oh, the Obama White House does get this.

The U.S. economy grew at a 3.5 percent pace in the third quarter, the best showing in two years, fueled by government-supported spending on cars and homes. It's the strongest signal yet that the economy has entered a new, though fragile, phase of recovery and that the worst recession since the 1930s has ended.

President Barack Obama hailed the data, saying the country has "come a long way" since early this year.

In remarks prepared for a small business group, Obama said he believes the new figures are "an affirmation that this recession is abating and the steps we've taken have made a difference." The economy had shrunk by 6.4 percent in the first quarter.

The president cautioned, however, that "we have a long way to go to fully restore our economy."

Many analysts also expect the pace of the budding recovery to be plodding due to rising unemployment and continuing difficulties by both consumers and businesses to secure loans.

"This welcome milestone is just another step, and we still have a long road to travel until the economy is fully recovered," said Christina Romer, President Barack Obama's chief economist. "It will take sustained, robust ... growth to bring the unemployment rate down substantially. Such a decline in unemployment is, of course, what we are all working to achieve."

The much-awaited turnaround reported Thursday by the Commerce Department ended the streak of four straight quarters of contracting economic activity, the first time that's happened on records dating to 1947.

It also marked the first increase since the spring of 2008, when the economy experienced a short-lived uptick in growth. read more here....

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