Economy Watch: Income, Personal Spending See Uptick
- Jan 31, 2017
Personal income among Americans increased $50.2 billion, or 0.3 percent in December, according to the Bureau of Economic Analysis on Monday. Disposable personal income, which is income after taxes, likewise was up 0.3 percent for the month. Even better for the pace of economic growth: personal consumption expenditures—people out spending their money— increased $63.1 billion, 0.5 percent for the month.
However, income growth for the year wasn’t quite so peppy in 2016. Personal income increased 3.5 percent in 2016 compared to 2015, as opposed to an increase of 4.4 percent in 2015 compared to the previous year. In 2016, personal consumption expenditures increased 3.8 percent, compared with an increase of 3.5 percent in 2015.