US Economy Grows at Stronger-Than-Expected Pace Despite Recession Calls

A man with a shopping bag walks past a sale sign at a retail clothing store in San Francisco on May 13, 2013. Robert Galbraith/Reuters

The U.S. economy expanded by 2.4 percent in the second quarter, up from 2 percent in the first quarter, according to the Bureau of Economic Analysis (BEA). The second-quarter gross domestic product (GDP) growth rate topped the consensus estimate of 1.8 percent.

BEA data show that the increase in real GDP was driven by gains in consumer spending, nonresidential fixed investment, private inventory investment, and federal, state, and local government spending.