American consumers are spending more, as wages rise
United States consumers shrugged off tax increases in February, as they earned and spent more, in another sign of the world's largest economy is on the road to recovery.
The U.S. Commerce Department reported Friday that consumer spending rose 0.7pc in February from January. It was the biggest gain in five months and followed a revised 0.4pc growth in January, which was double the original estimate.
The steady pace of sustained economic growth starts to increase wages, which should help to provide some cushion for households with higher taxes and support economic growth.