Headlines you won't see in the USA papers.
U.S. economy suffers sharp contraction (click at title to entry, thank you)
Economy hit by biggest fall in seven years; analysts warn contraction to be prolonged
Reuters Page 16 2008-11-01 01:03 AM
The U.S. economy suffered its sharpest contraction in seven years in the third quarter as consumers cut spending and businesses reduced investment at the onset of what may be a severe and long-lasting recession.
The Commerce Department said on Thursday that U.S. gross domestic product shrank at a 0.3 percent annual rate as the biggest pullback by consumers since 1980 overwhelmed an increase in government spending.
San Francisco Federal Reserve Bank President Janet Yellen called the economy's recent performance "deeply worrisome," and said the downturn was set to worsen....
GDP signals U.S. recession (click here)
Growth shrinks at fastest pace since 2001, consumer income takes record fall
Oct 31, 2008 04:30 AM
Associated press
WASHINGTON–Scared and out of money, Americans cut spending in the third quarter by the largest amount in 28 years, jolting the economy into what could be the most painful recession in decades.
The government yesterday reported U.S. gross domestic product declined at an annual rate of 0.3 per cent in the July-September period and consumers' disposable income took its biggest drop on record.
In simpler words, "The train went off the tracks," said Brian Bethune, economist at IHS global Insight.
But economists say tougher times are ahead. Believing consumers are cutting back even more right now, they predict a larger economic decline – anywhere from a 1 per cent to 2 per cent rate – during the current October-December period. That would meet a classic definition of a recession – two straight quarters of shrinking GDP....
