consumption

Healthy Surprises in the Fourth-Quarter GDP Report

Consumers reopened their wallets and manufacturers slashed inventories, indicating they're getting ready to ramp up production of more goods this year. Also contributing to growth were rising exports and falling imports. But just how good will 2011 prove to be?

Dr. Doom's Latest Prediction: Over 400 Banks Will Fail

Nouriel Roubini, the renowned NYU economics professor with the nickname "Dr. Doom," has offered up another dire prediction: Even if the U.S. and Europe manage to avoid a double-dip recession, it will still feel like a recession, and more than 400 U.S. banks will likely fail.

U.S. Savings Rate Hits 4% in May as Incomes Rise

The U.S. savings rate rose to an eight-month high of 4% in May, the Commerce Department said, as a 0.4% rise in average incomes outpaced a 0.2% rise in spending. But that caution on the part of consumers to spend, while good for the nation in the long term, may slow the economic recovery.

Book review: In Cheap We Trust

In her book In Cheap We Trust, author Lauren Weber deftly lays out America's bipolar relationship with thrift. At times, the message of 'economic...