Consumer Spending Rebounds
By George Anderson
Consumer spending increased by 0.4 percent in March, according to the Commerce Department. Personal incomes grew by the same amount.
According to the Associated Press, “Analysts took the increases as a positive sign that the economy, which has been struggling for months, could start seeing stronger growth now that the war is winding down.”
Concerns over the employment picture have many questioning whether the spending improvement is sustainable.
Lynn Reaser, chief economist, Bank of America Capital Management, said, “Jobless claims suggest that companies are still laying off workers at a significant pace in April while only a few companies were hiring.”
Moderator’s Comment: Have you seen any signs suggesting
that more jobs will be created than lost in the consumer goods manufacturing,
retailing and related businesses? [George
Anderson – Moderator]