Obama hails America's 'abating' recession
Updated on 29 October 2009
With the US showing 3.5 per cent GDP growth for the third quarter of 2009, the country may be out of recession but there is "a long way to go", according to President Obama.
President Obama hailed the figures as "affirmation that this recession is abating".
But the president, preparing for a speech to small business leaders, said there is still a "long way to go" to fully restore US economic strength and renewed job creation will be a key benchmark.
"This is obviously welcome news and an affirmation that this recession is abating and the steps we've taken have made a difference," he said after the release of government figures showing the economy grew in the third quarter for the first time in a year.
US GDP growth rebounded at a 3.5 per cent annual pace in the third quarter after shrinking by 0.7 per cent in the previous three months, ending a year-long slump that had inflicted the worst US recession since the great depression.
"The turnaround in crucial labour market indicators, such as employment and the unemployment rate, typically occurs after the turnaround in GDP," Christina Romer, chairwoman of the White House Council of Economic Advisers, said in a statement.
"And it will take sustained, robust GDP growth to bring the unemployment rate down substantially."
Romer said on CNBC television that the rebound does look broad based.
"We see consumer spending. We see some investment spending going up. Those are all good signs. So I do anticipate that this is the turnaround," she said.
