Most Active Stories
- Money, Greed and Power Keep Chukchansi Casino Closed, Tribe Still Divided
- Drought: Tulare County Is “Blazing The Trail For The Rest Of California”
- Despite Smart & Final Setback, Swearengin Says Blackstone Vision Remains Sound
- An Average Of 15,000 Fresno Homes Breaking Lawn Water Rules
- Fresno's Anti-Blight Ordinance Passes First Test
Valley Public Radio Staff
Fri March 29, 2013
Consumer Spending Rose 0.7 Percent In February; Higher Gas Prices A Factor
Originally published on Fri March 29, 2013 7:30 am
There was a slightly larger-than-expected increase of 0.7 percent in consumer spending from January to February, the Bureau of Economic Analysis says.
Higher gasoline prices, though, were much of the reason for the rise. According to the bureau, if spending is adjusted for inflation the increase was a more modest 0.3 percent — the same as in January. And higher energy costs were behind most of the inflationary pressures last month.
Consumer spending is closely watched because consumers buy about 70 percent of all the goods and services that companies produce — meaning they drive the economy.
Meanwhile, personal income shot up 1.1 percent.