Economy is Getting Brighter, Greenspan Testifies
WASHINGTON-Federal Reserve Board Chairman Alan Greenspan told the House Financial Services Committee last week that the American economy is looking much better since the last time he visited them. When he testified in July for his semi-annual report to Congress on the economy, he said though indicators were improving, there still were not "convincing signs" of sustained acceleration. "Since then, the picture has brightened," Greenspan said. "The gross domestic product expanded vigorously over the second half of 2003 while productivity surged, prices remained stable, and financial conditions improved further. Overall, the economy has made impressive gains in output and real incomes; however, progress in creating jobs has been limited." The U.S. economy also looks to be in good shape for the foreseeable future. He pointed out that the household sector is gaining strength, as is the business sector.