Source: CounterPunch
by Dean Baker
“When the Commerce Department released April data on consumption, the uptick in reported inflation got most of the attention. While that is big news, there were several other items that were noteworthy. First, consumption growth was very weak in April, increasing by just 0.1%. That is not necessarily a big deal since it followed two months of rapid growth, and the falloff was mostly attributable to a drop in car purchases after two months of large purchases. Still, consumption is most of the economy, and if it’s not growing at a decent pace, the economy is not growing at a decent pace. The second point is that fast-food spending is in the doldrums.” (06/01/26)