Compared to the Eurozone, the U.S. economy is doing much better. The second quarter GDP figure was revised up to more than 4 percent.
That’s the fastest pace since the third quarter of 2013. Corporate profits climbed by the most in nearly four years. Business and consumer spending also rose.
U.S. President Barack Obama is convinced there are better days ahead. The fall in jobless claims also highlighted the strength of the economy.
But analysts believe the latest data won’t be enough to convince the Federal Reserve to raise interest rates soon. Federal Reserve Chair Janet Yellen has said the economy needs more support since the labor market is still shaky and inflation remains below its two percent target.
For more, CCTV America spoke to Dean Baker, co-founder of the Center for Economic and Policy Research.