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US Retail Dips Due to End of Cash for Clunkers Program

The overall US retail performances saw a 1.5% drop in its overall performances. As far as for the sales of the cars that are concerned, this represents an overall dip of 10.4% in the entire industry performances. It is also observed that the GDP for America is estimated at 3% and this is because of the growing consumer expenditure.

On the other hand, consumer demand for goods and services forms an important part of economic activity which contributes to the overall GDP performances. So, there should be a constant watch on consumer activities as they contribute directly to the country’s GDP. There was a surge seen in the car sales during the month of August as US consumers took advantage of the cash for clunkers program.

And as for September, there has been a rise in the demand at the gasoline stations. The estimated growth was estimated to be at 1.1% which is quite good. Apart from the rise in demand of the cars and at the gasoline station, retails sales also rose to 0.4%. The demand and sale at the furniture stores also rose to 1.4%. But, the decline in sales last month has been the greatest. The commerce department is suggesting that there was a decline of 1.5% in last month’s retail sales. This decline is a huge loss to the businesses. There was however other signs of economic strength which shown by the furniture stores and retail stores such as Wal Mart.