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Employers in three of the districts said they want to see more robust growth before they expand their work forces. And businesses in most areas expressed concerns about rising gas prices. Retailers in five districts worried that pricier gas would drag on consumer spending in coming months. Fed Chairman Ben Bernanke has warned that the economy is growing too slowly to maintain recent declines in the unemployment rate. The unemployment rate has fallen from 9.1 percent in August to 8.2 percent in March, although part of the drop was because people gave up looking for work. People who are out of work but not looking for jobs aren't counted among the unemployed. Additional hiring has boosted consumer confidence and spurred more spending. Consumer spending jumped in February by the most in seven months. And many large retail chains have reported healthy sales for March. Higher auto sales and rising business demand for machinery and other equipment is boosting factory output. The manufacturing sector expanded in March at a faster pace than the previous month, according to a private survey. The economy grew at an annual rate of just 3 percent in the October-December quarter. Most economists are predicting growth slowed in the January-March quarter to an annual rate of less than 2.5 percent. Bernanke has said growth normally needs to be closer to 4 percent for a full year to lower the unemployment rate by a full percentage point. He has warned that hiring is likely to slow until consumers and businesses spend more, fueling faster growth. Wages aren't rising fast enough to keep up with inflation. Rising gas prices are also weighing on consumers' ability to spend money on other goods and services. And Europe's debt crisis has flared up again, as Spain and Italy have been forced in recent days to pay higher interest rates on their debts.
[Associated
Press;
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