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US lifts out of recession as its economy grows 3.5 per cent
Jonathan Prynn, Consumer Business Editor29 Oct 2009
America's worst downturn since the Thirties has ended, leaving Britain and Italy as the only major economies still in recession.
The world's largest economy grew in the third quarter for the first time in a year with an annual rate of 3.5 per cent - the fastest pace since the third quarter of 2007.
The better than expected figure comes less than a week after figures showed that Britain's GDP shrank by 0.4 per cent in the third quarter, making it the country's longest recession on record.
Of the other leading economies, China and India never went into recession, and Germany, France, Japan and Brazil started growing in the second quarter and Russia in the third quarter.
Even Italy is thought to have emerged from recession in the third quarter although it has not yet published its official GDP figure for the quarter.
Shadow chancellor George Osborne said: "These figures are very good news for the world economy, but Britain now stands out as the only major economy still in recession.
"Gordon Brown's claim that we were 'best placed' now lies in tatters. His recession plan has failed."
Reader views (10)
These "growth figures" are probably suspect, or at best relate to "technichal factors", according to a Bloomberg contributor yesterday - so watch this space for a double dip while enjoying a nice lunch of green shoots and humble pie.
- Ted, London, 30/10/2009 08:00
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England and Italy?. What about Ireland, every day I listen to the talk shows on the Irish Radio on Long Wave, and what I hear is that their economy is about to go into meltdown the whatsit has really hit the fan with loads of proposed government cuts which would be unthinkable over here.child allowance is being cut etc, and they have now realised that geographly they need the UK and as we are their biggest destination for exports but we have reduced what we buy from them as our pound is down by 30%, they are becoming financially isolated, and it must be totally wrong that every day loads of shoppers drive past Tesco in Southern Ireland to go to Tesco in N Ireland to buy the same goods 30% cheaper.
- Real World, Planet Earth, 30/10/2009 07:57
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When a country starts QE there is no escape. Once started you wont be able to stop it. The UK and USA WILL go into HYPERINFLATION down the track..maybe a few years. This will be a currency event not an Economic one.
The Bnaks derivatives has caused the WEST to go into meltdown. This mess will get far worse by 2012.
I am an ex forex guy and i am English.
My advice is not to get carried away and to reduce your debts as quickly as possible.
Sterling and US dollar WILL collapse in time...sooner rather than later.
- Nobby Clark, Tauranga,New Zealand., 29/10/2009 23:22
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If you think for one moment that that the recession has ended here,then you have your brain in the clouds just like the get nothing done government we got stuck with,five more of my friends laid off this week,it is going to be a very lean winter for many,Postal workers take note of this,you are lucky to have a job.
- Keith, South Carolina,USA, 29/10/2009 22:38
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But we're not coming out of it Keith - our economy has contracted by another 0.4% recently. We need an election so we can get shot of the failure that has blighted this nation for the last 13 years. Once they are gone, we can start the painful process of rebuilding confidence, and undoing the damage Blair and Brown have caused.
- M, London, 29/10/2009 17:18
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the same recession that your pal Gordon 'Crazy' Brown was culpable for. "
You are so silly. The recession is a worldwide phenomenon. We are coming out of it at the same pace as every other nation. If we followed Tory policies, we would be in it a few nore years yet
- Keith Price, Luton England, 29/10/2009 16:54
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There is one factor that differentiates the UK with those economies that are climbing out of recession and that's tax rates.
Other Governments have recognised that low taxes and an environment in which the private sector can thrive will recover the quickest, not one with a bloated public sector and high taxes, punishing success instead of rewarding it (and I exclude the banks from this!)
- Ertan Hurer, London, England, 29/10/2009 16:27
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Keith, perhaps you should read the article - it actually says the UK is the last major econmoy still in recession. that'll be the recession that we were best placed to get out of, the same recession that your pal Gordon 'Crazy' Brown was culpable for. Keep taking the pills pal, you are clearly mental.
- M, London, 29/10/2009 16:20
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Its only the USG economic stimulus package finding its way into their economy without it the real figures would be as bad as always.
You would have to be monumentally naive to believe GDP suddenly turns around on its own when unemployment is rising and still @ -530K in US alone last month!
- Br, London, England, 29/10/2009 15:41
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Well done Gordon Brown for rescuing the country from the worldwide economic recession, which has hit many other countries far harder than it has us here in the UK
- Keith Price, Luton England, 29/10/2009 15:25
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