U.S. Economy Grew at 3.2 Percent

The U.S. economy grew at a rate of 3.2 percent in the fourth quarter of 2010, according to new statistics out Friday from the Department of Commerce. The rate was up from 2.6 percent in the previous quarter, and the growth was attributed to revitalized consumers and a narrow trade deficit. Though the new growth is good news, it is slightly less than analysts predicted. Americans saved less of their paychecks, allowing consumer spending to nearly double from 2.4 percent in the third quarter to 4.4 percent in the fourth. Payroll tax cuts and the extended Bush tax cuts are expected to give consumer spending a further lift in 2011.