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National economy shows some slight signs of improvement
 

THE NATIONAL economy is showing a surprising ability to push forward against strong headwinds that many feared would led to a deep and prolonged slowdown in growth.

Dale McFeatters, writing for Scripps-Howard News Service, is rightly encouraged by indicators that are less negative than anticipated.

For the fourth straight month, he notes, the economy lost jobs in April, but that figure was less than expected -- 21,000 rather than the 75,000 many anticipated and well down from the 81,000 jobs lost in March.

While some job sectors were hard hit, gains were posted in many others, pushing the unemployment rate down to 5 percent from 5.1 -- not much, but still a turn in the right direction.

A number of other indicators showed small but nevertheless positive movement in April: Consumer spending rose by 0.4 percent, factory orders by 1.4 percent, and hourly earnings by 0.1 percent.

McFeatters notes that these numbers are, "not exactly a reason to hold a parade, but ... are mildly reassuring because they come as the government is about out of weapons to refire the economy."

The Federal Reserve has likely enacted its last interest-rate cut for some time, and the tax rebate checks arriving in the mail may soon be spent.

The beneficial effects, however, may be just enough to continue nudging the country forward against the continuing -- but it is hoped weakening pull -- of negative economic forces.

The economy, McFeatters concludes, is "showing surprising resilience in weathering the collapse of the housing boom, the oil price shocks and the turmoil in the credit markets."

That is small comfort to those whose lives are being painfully changed by the economic trough in which the economy now finds itself.

Still, it is not wishful thinking to believe the glass is half-full rather than half-empty.

Created: 5/7/2008 | Updated: 5/7/2008

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