0am:The Santee, SC forecast for Apr 11 is 63 degrees and Clear. There is 74 percentage chance of rain and 4 mph winds from the South-Southeast. 3am:The Santee, SC forecast for Apr 11 is 55 degrees and Clear. There is 79 percentage chance of rain and 4 mph winds from the South.
Consumer spending makes up more than 70 percent of the economy, and it usually drives growth during economic recoveries.â ââConsumers Give Boost to Economy,â New York Times, May 1. Every quarter, when the government releases its latest GDP figures, we hear the familiar refrain: âWhat the consumer does is vital for economic growth.â âIf the consumer starts saving and stops spending, weâre in big trouble.â âConsumer spending accounts for 70 percent of the economy.â The latter âfactâ crops up regularly in the news reports from the Associated Press, the Wall Street Journal, and the New York Times. The truth is that consumer spending is not the mainstay of the U. S. economy. Investment is. Business spending on capital goods, new technology, entrepreneurship, and productivity is more significant than consumer spending in sustaining the economy and a higher standard of living.
Annie Baxter, a reporter for Minnesota Public Radio, estimates that in 2008 consumer spending accounted for roughly two-thirds of the American economy. Consumers are the grease of the economy, and play important and complex roles in the way the economy is shaped. The main role of the consumer is to spend money. How much money she spends is primarily based on her income. How she spends it, however, depends on her needs and preferences. For instance, if she has $100 to spend, she might buy $75 worth of groceries and $25 worth of clothes.