Economy: Aug. 31, 2001
The U.S. economy expanded slightly in the second quarter of 2001 at a rate that exceeded economists’ expectation but fell short of the Department of Commerce’s original conservative estimate; the gross domestic product grew 0.2 percent, less than the 0.7 percent originally forecasted; the increase was nearly negligible but was enough to keep the economy from being officially recessionary; traditionally, a recession is defined as two consecutive quarters of gross domestic product decline...The Commerce Department news came on the heels of the announcement that consumer confidence unexpectedly dropped to 114.4 in August from 116.3 in July, according to the Conference Board; the Pacific region bucked the trend, however, showing a slight increase to 110.9 in July from 110.1 in August, according to the New York-based research firm.
