WASHINGTON: The U.S. economy grew at an annual rate of 0.5 percent in the first quarter of this year, being pulled back by slowing consumption, the Commerce Department said Thursday.
The growth was lower than the 1.4 percent increase in the previous quarter.
The deceleration reflected a larger decrease in non-residential fixed investment, a deceleration in consumer spending and a decline in federal government spending, said the Commerce Department.
Consumer spending, which accounts for about 70 percent of the U.S. economy, increased 1.9 percent in the first quarter, lower than the 2.4 percent rise in the previous quarter.
