|Published:||Apr 30, 2012 2:05 PM EDT|
|Updated:||Apr 30, 2012 2:05 PM EDT|
WASHINGTON (AP) - Americans increased their spending more slowly in March, raising questions that consumers could be worried about the economy.
The Commerce Department says consumer spending increased just 0.3% in March after a 0.9% gain in February. Income grew 0.4% following a 0.3% gain in February.
Consumer spending is closely watched because it accounts for 70% of economic growth. It rose at the fastest pace in more than a year in the January-March quarter. But consumers could be cutting back because of weak income gains and a slowdown in hiring.
The amount of income left after paying taxes was up just 0.2% in March, after adjusting for inflation. The tiny increase followed two months of declines.