The U.S. economy climbed 3.9 percent in the third quarter of 2014, growing more quickly than originally estimated thanks to a boost in consumer spending.
The upward revision came as a bit of a surprise, as many analysts had anticipated the government would report a slight decline from its first estimate of third quarter growth. The Bureau of Economic Analysis reported in October that the economy grew 3.5 percent in the third quarter of the year.
{mosads}The new data is the latest in a series of positive news about the economy, which grew 4.6 percent in the second quarter of the year. The jobless rate has steadily fallen for much of the year. The unemployment rate now stands at 5.8 percent, its lowest level since 2008.
The White House said Tuesday’s report proved the economy was continuing its trend of strong growth.
“Since the financial crisis, the U.S. economy has bounced back more strongly than most others around the world, and the recent data highlight that the United States is continuing to lead the global recovery,” said Jason Furman, chairman of the president’s Council of Economic Advisers.
Furman again reiterated that the White House believes the dismal first quarter economic decline was due to temporary factors like severe weather. He also noted that the national saving rate rose in the third quarter, continuing a trend of increased reserves since the financial crisis.
“These changes put the U.S. economy in a more sustainable position for the future, including helping to reduce America’s borrowing from the rest of the world,” he said.
The government said the acceleration of economic growth in the latest estimate is thanks to stronger numbers on consumer spending, as well as government spending at the federal and state level.
Consumer spending was up 2.2 percent in the third quarter, compared to 2.5 percent in the second. And government spending at the federal level jumped 9.9 percent whereas it had fallen 0.9 percent in the second.
Imports, which subtract from the nation’s gross domestic product, were also down 0.7 percent. However, so were exports, which increased 4.9 percent compared to 11.1 percent in the second quarter.
— This post updated at 10:09 a.m.