U.S. economic growth had a spectacular growth in the second quarter of 2014, which were far above all the estimates made by many analysts.
The Gross Domestic Product (GDP) of the United States grew more than expected, at an annual rate of 4% in the second quarter, as it was announced by the Department of Commerce.
This is the largest economic expansion since the third quarter of 2013, after all activity shrank by 2.1% between January and March.
This is a very important fact considering that analysts expected the economy to grow at a rate of 3% during the second quarter.
According to the report, consumer spending grew 2.5% during the same period, while business spending rose 14%.
Despite this improvement, an increase in the general price index of 1.9%, compared with 1.4% in the first quarter, and it is expected that global growth this year will be only 1.6%.
On the other hand, U.S. companies created 218,000 jobs during the month of July compared the 281.00 set in June, according to a report by ADP private consultant.
President Barack Obama took advantage of the data from the GDP growth for the second quarter and stated that the economic policies promoted by his administration “are beginning to yield results”
He also assessed the progress in different economic matters, particularly in regards to the gradual reduction in the unemployment rate, which closed June at 6.1%, the lowest figure since 2008.
“Businesses are investing, workers build new homes, and consumers spend. The U.S. is exporting goods worldwide, so the decisions we make to rescue the economy are starting to pay off,” said the President.
However, President Barack Obama restated that the challenges still persist in the U.S where economic inequality has increased and the opportunities are shrinking.