FINALLY, AN ECONOMY FIRING ON ALL CYLINDERS

摘要

Corporate America's reluctance to spend and hire has been the biggest drag on this lackluster recovery. Not anymore. Solid earnings growth, a river of cash flow, and friendlier financial conditions are combining with new signs of life in overall demand. It's a potent mix that already is starting to fuel capital spending and the economy's growth rate, the two keys to more hiring. Fresh signs of stronger growth showed up in the Commerce Dept.'s Aug. 28 update on second-quarter real gross domestic product. Real GDP grew at a 3.1% annual rate, up from the 2.4% pace first reported, mainly reflecting upward revisions to demand from consumers, businesses, and foreigners. Moreover, the latest economic reports show that growth in the current quarter is off like a rocket: Estimates of 5% are becoming commonplace.