Cleaning & Restoration Breaking News

Consumer spending falls marginally

February 4, 2002
/ Print / Reprints /
/ Text Size+
WASHINGTON -- With income on the rise, consumers cut back on their spending in December as automobile free-financing offers and other incentives began to wane.

The 0.2 percent drop in spending followed a revised 0.3 percent decline in November, a much smaller decrease than previously reported, the Commerce Department said. However, consumer spending, which accounts for two-thirds of all economic activity, held up well even as the country suffered through a recession that began in March and got another jolt by the Sept. 11 terror attacks.

Cash left over from home refinancing stemming from low mortgage rates, heavy discounting by retailers and zero-percent financing has induced people to spend.

Consumer spending in the fourth quarter was up a strong 5.4 percent, one of the reasons the economy was able to grow at a 0.2 percent rate during the period and defy expectations of another negative quarter. Americans' incomes, which include wages, interest and government benefits rose a healthy 0.4 percent in December after a flat November.

Income and spending for all of 2001 each rose by 4.9 percent. Although it was the smallest increase since 1991, the fact that consumer spending didn't collapse under the strain of rising unemployment and economic turmoil was heartening to many economists

Did you enjoy this article? Click here to subscribe to i Cleaning Specialist Magazine.

You must login or register in order to post a comment.



Image Galleries

The 2014 Experience Conference and Exhibition

A look in photos at the 2014 Experience Conference and Exhibition, which was held from April 24-26 at the Embassy Suites Convention Center and Spa in Frisco, Texas.


Have a limited marketing budget but realize the importance of neighborhood marketing? Try doorknob hangers, a low-cost, yet highly effective way to drum up more business. In this episode, John Braun discusses the value of this tactic as well as what you should include on the materials you're hanging.
More Podcasts

ICS Cleaning Specialist Magazine


2014 September

The September issue of ICS features stories on moisture detection, disinfectant services, neighborhood marketing, then we discuss the last level of being phenomenal, and cool products.

Table Of Contents Subscribe

Social Media

Social media is a good way to regularly keep in touch and interact with current clients and reach potential ones. What social mediums do you use in your cleaning/restoration business?
View Results Poll Archive


Get Paid! book cover
Get Paid! (ebook)
Over 30 authors – over 40 articles…from attorneys, contractors, consultants, instructors and others, both inside and outside the restoration industry. R & R, C & R and Cleanfax, opened their archives and gave us the best they had, other chapters were created just for the “Get Paid!” book and its readers. And every one of them has ideas for how to get paid what you are owed.

More Products


Director_Buyer.jpgThe premier resource and reference guide for the cleaning and restoration industries.

Click here to view


Truckmount.jpgEquipment listings and specifications from the leading industry manufacturers.

Click here to view


facebook_40.png twitter_40px.png youtube_40px.pngcrc logo