NewsApril 30, 2002
WASHINGTON -- Consumers didn't shop until they dropped, but they did spend modestly in March, helping to bolster the economic recovery. The Commerce Department reported Monday that consumer spending -- which accounts for two-thirds of all economic activity in the United States -- rose 0.4 percent in March. That matched the growth in Americans' incomes, which include wages, interest and government benefits...
The Associated Press

WASHINGTON -- Consumers didn't shop until they dropped, but they did spend modestly in March, helping to bolster the economic recovery.

The Commerce Department reported Monday that consumer spending -- which accounts for two-thirds of all economic activity in the United States -- rose 0.4 percent in March. That matched the growth in Americans' incomes, which include wages, interest and government benefits.

While solid, March's performance marked a moderation in spending and income growth from the month before. In February, Americans' spending and incomes -- which include wages, interest and government benefits-- each rose by 0.6 percent.

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"Consumers didn't falter," said Richard Yamarone, economist with Argus Research Corp.

Higher energy prices and rising unemployment -- which jumped to 5.7 percent in March -- probably made people more cautious in their spending, economists said.

The 0.4 percent rise recorded for Americans' spending and incomes in March was the smallest gain in three months.

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