Personal Income Rises In February

According to the most recent data from the Bureau of Economic Analysis, the nation’s personal income rose by 0.2% in February 2019, following a 0.1% drop in January. This increase has been attributed to a rise in wages and salaries, government social benefits to persons, and proprietor’s income.
Real disposable income, or income adjusted for taxes and inflation, fell by 0.2%. This follows a 1.0% increase in December 2018 and marks the first decline since April 2018. (This figure was calculated using only personal income due to the government shutdown.)
Personal consumption expenditures (PCE) rose 0.1% in January. After accounting for inflation, real PCE increased 0.1% after a decrease of 0.6% in December 2018. Spending rose slightly in January, primarily because of increases in spending for services, mainly financial services and insurance. On a year-over-year comparison, real personal consumption increased 2.3% in January.

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