The economy grew in the third quarter for the first time in a year as consumer spending and investment in new home-building rebounded, data showed on Thursday, unofficially ending the worst recession in 70 years.
The Commerce Department, in its first estimate of third-quarter gross domestic product, said the economy grew at a 3.5 percent annual rate, the fastest pace since the third quarter of 2007, after contracting 0.7 percent in the April-June period.
The growth pace in GDP, which measures total goods and services output within U.S. borders, was above market expectations for a 3.3 percent rate. The economy last grew in the second quarter of 2008.
John Boehner’s office issues a statement:
“Any positive signs for our economy are welcome, but a jobless recovery is not what the American people were promised. President Obama and his economic team said the trillion-dollar ‘stimulus’ would create jobs immediately and keep the unemployment rate below eight percent. Since then, roughly three million jobs have been lost and unemployment has risen to near 10 percent.
“For millions of out-of-work families struggling to make ends meet, this recession feels far from over. Yet even now, after the Obama Administration’s top economist has stated that the ‘stimulus’ already had its greatest impact on the economy, Washington Democrats are intent on staying the course and trying to spend, tax, and borrow their way to prosperity. Republicans have proposed fiscally responsible solutions to help small businesses create good-paying jobs
and get our economy moving again.”