Wednesday, December 24, 2008

Some Good News On Christmas Eve

New York Times:

Tumbling gasoline prices gave consumers more purchasing power last month, and led to a rise in real spending, even as personal income slips and Americans worry about their jobs in a rapidly weakening economy .

The Commerce Department reported on Wednesday that consumer spending, when adjusted for inflation, rose 0.6 percent in November, its largest gains in two years. The increase followed a 0.5 percent decline in October.

While the unadjusted rate of consumer spending declined 0.6 percent last month, following a 1 percent drop in October, economists suggested that the relative increase in spending was a rare piece of good news for the faltering economy.

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