The U.S. economy is recovering: it increased by 6.4% in the first quarter of 2021

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source: cnbc.com

The resumption of companies and rising costs also pushed up prices to 3.5 in the same period. An increase of 3.5%. In another positive sign, the number of Americans applying for unemployment benefits has dropped to its lowest level since the onset of the epidemic.

The U.S. economy grew 6.4 percent in the first quarter of this year due to a recovery in consumption and an increase in public spending, according to government data, reflecting continued recovery, according to government data. The epidemic is leaving behind a crisis caused by the disease and published this Thursday.

With the resumption of many businesses and the encouragement of spending through public aid, prices have risen, and inflation has risen 3.5 percent between January and March, compared to 1.5 percent in the last quarter of 2020. Was the level of

This is the first calculation on economic activity by the United States since the beginning of the year, after the annual contraction of gross domestic product (GDP) of 3.5% registered in the same period of 2020.

The GDP growth between January and March was 1.6 percent compared to the previous quarter.

The quarterly report said the increase in the first quarter reflected the government's ongoing response to economic recovery, business reopening, and epidemics.

Among them, he mentioned direct exchanges, expansion of unemployment benefits, and support for small and medium enterprises.

U.S. President Joe Biden, who has proposed a multi-million dollar investment plan in infrastructure and social security programs, has assured that U.S. growth could exceed 6% per annum in 2021, up from 1980. Hasn't been in the country for a decade.

Applications for unemployment benefits were reduced.

This is not the only sign that the economy is recovering from the Coronavirus recession. On Thursday, the government also announced that the number of Americans applying for unemployment benefits fell 13,000 last week to 553,000, the lowest level since the outbreak last March.

The Labor Department said Thursday that a week ago, unemployment claims were down to 566,000. They have dropped dramatically over the past year but are well above the usual 230,000 weekly figures before being hit by an epidemic in March 2020.

The four-week moving average, which reduces weekly rotation, fell 44,000 to 611,750.

In the week of April 17, about 3.7 million people are benefiting from traditional state unemployment. Some form of unemployment relief is being provided for the week of April 10, including a federal program designed to alleviate the economic pain of the health crisis.

Unemployment claims are a proxy for rebates, and economists have long viewed them as a starting point for the job market and the economy. But in recent months, that number has become less credible as states struggle to eliminate the real amount of claims behind the allegations and alleged fraud.

In recent months, there has been a resurgence in the labor market. Employees added a staggering 916,000 jobs in March, according to a survey by data firm FactSet, and the Labor Department is expected to report next week that it will add another 875,000 employees in April. In April 2020 (before Fools, the unemployment rate was only 3.5% in February 2020), the unemployment rate fell from a peak of 14 to 6%.

Employers are complaining that they can't find workers, despite the high unemployment rate. Americans are reluctant to return to work because they are still at risk of contracting the virus or need to care for children who have not returned to school. Another factor is that in addition to state aid, 300 percent unemployment per week can be a federal unemployment benefit, meaning that some low-income workers can earn more than the benefits of unemployment compared to their previous jobs.