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Divide Between Small and Large Business Slows Economic Recovery | Your Bottom Line

Despite the current period of recovery following the Great Recession, the latest reports for the US economy aren’t encouraging. NFIB’s chief economist, Bill Dunkelberg, reports on the so-called recovery with more statistics of stagnant (and high) unemployment rates and decreased consumer spending. Consumer spending on services, which accounts for 70% of all consumer spending, is especially lagging. Dunkelberg accounts for the lack in spending, saying “the services sector is very labor intensive, so spending where job creation is needed most has been slow to recover.” Furthermore, the great divide between small and large businesses is causing an imbalanced economy. Stock

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