The government is reporting that the economy did shrink in the summer, sending the strongest signal yet that a recession may have already begun.
The Commerce Department reported that the gross domestic product, the broadest measure of economic health, fell at an annual rate of 0.3 percent in the July-September period, a significant slowdown after growth of 2.8 percent in the prior quarter.
The economy ran into a wall in the summer as the mailings of stimulus checks ended and consumer confidence was shaken by the upheavals on global markets. Consumer spending dropped by the largest amount in 28 years in the third quarter. (AP)
