Economic recovery slows as consumer spending weakens

Economic growth in the U.S. slowed to a 2.4 percent pace during the second quarter, which is its weakest showing in nearly a year, according to The Wall Street Journal.

The slower recovery was a result of various factors, including weaker consumer spending and less growth from companies that were restocking reduced stockpiles.

Although the economy grew at a 3.7 percent pace during the first three months of 2010, recovery has been weakening for two consecutive quarters, leading to concerns that economic growth could stall.

Additionally, the government marked down earlier estimates of gross domestic product for 2007, 2008 and 2009, revising seven of the 12 quarters. The 2007 growth rate was 1.9 percent instead of 2.1 percent; the 2008 growth rate remained the same instead of increasing 0.4 percent; and in 2009, the economy contracted 2.6 percent instead of 2.4 percent.

Date : 7/30/2010