Signs of a Spring Fling In Equipment Buying

摘要

If capital spending on new equipment and buildings is the seed corn of future economic growth, then this recovery is on its way to a rich harvest. The upturn in business investment is not only accelerating, it's broadening, as companies start to do more than just replace worn-out computers and peripherals. Now, businesses are ramping up their spending for traditional non-high-tech machinery, as they see more chances to expand their operations to meet rising demand. In the long run, capital budgets are the building blocks for continued gains in productivity and real incomes in the U.S. economy. Near-term, capital spending, especially for new equipment, is set to contribute mightily to overall growth and should add to hiring later this year.