“The service sector in June grew at the slowest pace in nearly two and a half years,” reports the New York Times, “more evidence that the economy has weakened.” Service companies employ roughly 90 percent of the U.S. economy and include retail, hotel, construction, financial services and health care businesses, among others. “The industry has weakened at a time when the broader economy has lost vigor,” the Times notes. Paychecks are barely keeping pace with inflation, making consumers less confident in the economy.” Indeed, consumer spending showed no gain from April to May.
Service sector grows, slowly
The service sector, which employs 90 percent of the U.S. economy, grew at the slowest pace in nearly two and a half years in June.
July 6, 2012