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By John Schoen, first producer

It is a little better prévu.Mais it is not good enough.

U.s. economy has increased at an annual rate of lean 2 percent in the three months ending on 1st October, according to government data released Friday. It is a little faster as most forecasters were looking for.But it is only the first of the three readings of GDP Government; these first estimates were a way to get cropped when the final figures are printed. Stay tuned.

The housing market remains the largest damper on growth: investing in residential real estate jumped 30% after the end of June the Government for the first time buyer tax credit. Lower prices of real estate, high unemployment rates and the current locking disorder will continue to weigh on the economy in future quarters. Maybe years.

A large portion of the gain third quarter GDP came companies taking advantage of extremely low to buy new equipment, borrowing costs that extends a frenzy of purchase which has been ongoing throughout the year .the business investment has increased by 12% in the third quarter. But less than half the rate for the second quarter, suggesting blow boosting business spending can I be melted. Even though it holds that the investment is not creating jobs. If anything, companies are investing in machines and software to boost the productivity of existing workers so that they do not have to hire more people.

Consumers have expressed their - 2.6% of consumer spending. But they had to use savings to pay, is not sustainable. A large part of the expenditure went to buy products manufactured abroad: imports jumped 17 percent, more than three times the gain in exports. Despite the weakness of the dollar, this trade deficit widened further depreciation of the GDP growth.

There is no mystery behind the causes of another quarter of low economic growth.The Federal Government can stimulus spending led off a deeper slide, but the impact of all spending fading.State and local governments are scrambling to big budget hole - and ask workers to try to reconcile .the books ' the housing industry is in its worst slide in 60 years, and the latest data provide no hope that it will be back soon.Some 3.5 million families have lost their home-lock;There are double or triple that number to come unless the lending industry or the Government comes up with effective solutions.

And with the midterm election days away, there is little talk of broader solutions for the many choruses quagmire most common on the campaign trail are vague promises to "fix" the deficit and create proposals emplois.Des are in short supply.

Leaving the lifting heavy at the Federal Reserve, which carries out sounds to embark on a half trillion good Treasury - to push interest rates and bond prices shopping frenzy over bas.Qui can help people who possess bonds - as banks, insurance companies and other large investisseurs.Mais basement negotiation rate did not much to get loans from banks or companies hiring it was little indication that a new round of bond purchases made by the Federal Reserve will change us.

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