White House sees fragile moment for world economy

Reuters News
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Posted: Oct 27, 2011 11:33 AM
White House sees fragile moment for world economy

WASHINGTON (Reuters) - The White House said on Thursday it was encouraged by data showing the U.S. economy grew in the third quarter of 2011 but said faster expansion was needed to recover jobs and fortify the global economy.

"We are, nonetheless, at a fragile moment in the world economy, and cannot afford to do anything to undermine our economic recovery," acting chief White House economist Katharine Abraham said in a statement.

"This report also underscores the need to put in place a balanced approach to deficit reduction that phases in budget cuts, instills confidence, and allows us to live within our means without short-changing future growth," she said.

(Reporting by Laura MacInnis and Caren Bohan)