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The U.S. economy is going ahead on its path of growth in the third quarter with some positive indicators compare to the previous quarter, according to the government's initial reading published on October 29, 2010. The fear of double-dip recession in the U.S. economy has been over as depicted in the recent data which shows better growth and more household spending in the economy.   Gross domestic product (GDP), the broadest measure of the economy, grew at an annual rate of 2% in the three months ended in September 2010. While that's slightly better than 1.7% growth in the previous quarter, it is still considered too weak to create jobs. "The U.S. economic recovery is still stuck in second gear," said Paul Ashworth, senior U.S. economist for Capital Economics in a note Friday. "The economy isn't growing rapidly enough to reduce the unemployment rate,” he added. The average growth rate during U.S. economic expansions over the last 30 years is 3.6%, and...

The United States likely will need to keep thousands of troops in Iraq beyond 2011 to keep a lid on sectarian tensions and to bolster Baghdad's fledgling military, experts and former officers say. American officials privately acknowledge that the US military presence in Iraq will almost certainly be extended, even though a security agreement in force requires all US forces to depart by the end of 2011. The US military will be needed not only for technical tasks to keep the Iraqi armed forces afloat, but as a reassuring presence for Iraqis fearing a revival of sectarian and ethnic bloodshed, analysts said. Baghdad's military remains heavily dependent on US logistical support, air power, equipment and expertise, while most Baghdad politicians are anxious to retain American troops as a peacekeeping force in reserve. "The more pressing requirement is less teaching them how to use weapons and more providing reassurance to threatened internal communities that they won't ...

The economic outlook for nine U.S. Midwest and South-Central states slumped for a third consecutive month in August, pointing to slower growth as the potential for a double-dip recession rises, according to a survey of supply managers released on Wednesday.   Creighton University's Business Conditions Index fell to 55.8 in August from 60.8 in July. A reading of 50 is considered growth neutral, while readings above that signal expansion over the next three to six months.   Just over a third of the survey's respondents said it was likely or very likely the U.S. economy will slip back into a recession in 2011, while 44 percent said there was a 50 percent chance of that happening. Still, the Mid-America region looks stronger than the national economy, said Creighton University Economics Professor Ernie Goss. "Over the past several months, for example, the region has been adding jobs at a very healthy pace while U.S. job growth has been nil," he said in a statement. ...

Residential area submerged due to Hurricane Earl in USA U.S. residents urged to prepare for possible evacuations as powerful Hurricane Earl howled over open seas running toward the East Coast of the U.S.A. The Category 4 hurricane, with winds of 135 mph (215 kilometers), was expected to remain over the open ocean before turning north and running parallel to the U.S. coast, potentially reaching the North Carolina coastal region by late Thursday or early Friday. It was projected then to curve back out to sea, perhaps swiping New England or far-eastern Canada. "We can't totally rule out a very close approach to either of the Cape Hatteras areas or Cape Cod and southern New England as the storm progresses further," said Bill Read, director of the U.S. National Hurricane Center in Miami. Earl delivered a glancing blow to several small Caribbean islands Monday, tearing roofs off of homes and cutting electricity to people in Anguilla, Antigua, and St. Maarten. Cruise ships were ...

More than $5 billion in American taxpayer funds has been wasted which is more than 10 percent of the some $50 billion the U.S. has spent on reconstruction in Iraq, according to audits from a U.S. watchdog agency. As the U.S. draws down in Iraq, it is leaving behind hundreds of abandoned or incomplete projects. A $40 million prison sits in the desert north of Baghdad, empty. A $165 million children's hospital goes unused in the south. A $100 million waste water treatment system in Fallujah has cost three times more than projected, yet sewage still runs through the streets. That amount is likely an underestimate, based on an analysis of more than 300 reports by auditors with the special inspector general for Iraq reconstruction. And it does not take into account security costs, which have run almost 17 percent for some projects. There are success stories. Hundreds of police stations, border forts and government buildings have been built, Iraqi security forces have improved after year...