This is welcome news!Reuters has this report. Let us read it.
"The White House on Friday hailed a report of 5.7 per cent economic growth in the fourth quarter as “the most positive news to date on the economy” and said the Obama administration’s focus must remain on job creation.
“It is important not to read too much into a single report, positive or negative,” White House economist Christina Romer said. “There will surely be bumps in the road ahead ... Nonetheless, today’s report is a welcome piece of encouraging news.”
Romer was responding to a Commerce Department report of faster-than-expected growth in the fourth quarter, the quickest pace in more than six years, as businesses reduced inventories less aggressively.
“Today’s GDP report is the most positive news to date on the economy,” she wrote in a statement on the White House web site.”
Romer made clear that the latest economic figures only reinforced President Barack Obama’s intention to make job creation, which has lagged as the economy emerged from deep recession, his administration’s top priority.
“While positive GDP growth is a necessary first step for job growth, our focus must remain on getting Americans back to work,” she said. “That GDP rose strongly in the fourth quarter of last year while employment fell and the workweek increased only slightly emphasizes the need for policy actions designed to help spur private sector job creation.”
Romer cited an “inventory bounce” by US businesses as a part of the jump in fourth-quarter GDP growth.
“This inventory bounce, though likely to be transitory, is a normal part of healthy recoveries. As firms’ confidence in the future increases, their desire to run down inventories wanes. This change in behavior is often a powerful force for growth early in a recovery,” she said."
I do hope with the chorus of good news from India to Washington,the world economy can ratchet upwards without looking back.
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