Friday, 30 October 2009

America out of recession

The US economy is growing at 3.4% a year, according to last quarter's numbers. So now the USA, Japan, France and Germany are all out of recession, while the UK is still on the down slope - having reported a -0.4% GDP "growth" (ie, shrinkage) over the same time period: July to September.

Spain is also falling at much the same rate as the UK.

With global growth comes global rising interest rates; I think I may have mentioned that in a recent post.

However, the American growth may not be sustained. It has been based on stimulating car demand with the "cash for clunkers" subsidy, and another taxpayer handout to buy a house. It remains to be seen if the economy can sustain itself without government help.

BBC

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