The U.S. economy grew at the best rate in a year and half in the third quarter of 2013, which ended in September.
Revised numbers from the U.S. Department of Commerce show that the nation’s gross domestic product expanded by 3.6%, a number that easily beat the prediction from economists of a 3.1% growth rate.
The number is the highest since a 3.7% expansion in the first quarter of 2012.
The numbers are the latest to show improvement in the economy. Earlier this week, a jobs report from payroll company ADP showed private companies added 215,000 jobs in November. And, despite recent dips, both home and stock prices have increased over the course of 2013.
These positive signs are good for college students or those considering entering college. An improved economy should result in more jobs in 2014, according to economists.
According to USA Today, other components of the Commerce Department reported offered a “mixed bag.” Consumer spending grew at 1.4% – a little less than analysts had expected – while investment from the private sector increased more than expected in equipment, software and building.
“The results appear to buttress surveys and other data that show rising confidence in faster growth next year,” the USA Today article states.
Some of the growth can be attributed to the biggest increase in company inventories since 1998. The stockpile indicates that businesses have a more positive outlook for 2014, Lewis Alexander, chief economist at Nomura Holdings, told Bloomberg.
The Labor Department also released information on Thursday indicating that the first-time claims for jobless benefits fell by 23,000 to 298,000 last week.
The numbers marked the third straight week that jobless claims have dropped. New claims for jobless benefits have fallen seven of the past eight weeks, according to the Wall Street Journal.
On the negative side, the Wall Street Journal quoted several economists who said the underlying numbers still indicate weakness in the economy, or, at the least, somewhat tepid growth. Peter Newland, of Barclays, told the Journal that the numbers will not convince policy makers that the economy is on firmer footing.
Still, Newland said, “We expect domestic demand growth, particularly consumption, to be somewhat stronger as the impact of fiscal tightening fades.”
A college degree has proven to help people weather tough times. During the height of the recession, when the national unemployment reached as high as 8%, unemployment for those with a bachelor’s degree reached only the 4% range.
Currently, the unemployment rate for those with a high school diploma is 7.3%, according to the U.S. Bureau of Labor Statistics, while those with a bachelor’s degree or high is 3.8%. Those with less than a high school diploma have an unemployment rate of 10.9%.
