urgent please

1. By what percentage did U.S. consumer spending rise in July from a year ago? When was the last month that consumer spending growth was so high? 2. What are two likely reasons for the surge in consumer spending last month? Is such a high growth rate likely to continue throughout the rest of 2018? Why or why not? U.S. Consumer Spending Rose 0.4% in July The increased outlay partly reflects the fact that U.S. firms are charging more for goods and services Household spending or what Americans paid for all goods and services, such as groceries and health care- rose 0.4% in July, the Commerce Department said Thursday. PHOTO: ERIC THAYER/REUTERS By Josh Mitchell Americans spent all of their income gains and then some in July, keeping the economy humming in the second half of year. Household spending or what Americans paid for all goods and services, such as groceries and health care- rose 0.4% in July, the Commerce Department said Thursday. That marked another healthy gain after months of strong growth Confident Consumers Americans are steady boosting spending Personal spending change from year earlier RESON mor 2 The increase partly reflects higher prices that businesses are charging for their items, itself a sign that demand in the economy is strong. It also reflects that Americans have more money in their pockets, thanks to robust job growth, rising pay and a tax cut that took effect early this year. Household income including what Americans earned from salaries and investments-rose 0.3% in July. Also, the booming stock market and rising home values are raising Americans' wealth, which tends to encourage them to spend more and save less. The fact that spending rose faster than income shows how confident Americans are in the economy these days. After accounting for inflation, consumer spending rose 2.8% in July, compared with the same month a year ago an annual gain last exceeded in March 2017. "It's encouraging to see that the American consumer continues to spend confidently and on a steady basis, with the streak in real spending gains extending to five months as of July," said Admir Kolaj, an economist at TD Economics, in a note to clients. Consumer spending, which represents more than two- thirds of demand in the economy, was the biggest factor behind the economy's rapid 4.2% annual growth in the spring. Many economists expect 3% growth or more in the current quarter, largely because of expectations of household spending gains. But economists don't expect the economy to sustain that pace in the long term. An aging population and meager gains in productivity are likely to hold back growth in coming years, they say. For now, strong growth and rising inflation are likely to keep the Federal Reserve on track to raise interest rates twice more this year. The central bank is looking to raise rates steadily to keep the economy growing at a healthy pace while reducing the risk of it overheating. Thursday's report showed the price index for personal- consumption expenditures the Fed's preferred inflation measure_grew 0.1% in July from a month earlier. Core prices, which exclude volatile food and energy components, grew 0.2% While the monthly gains were modest, inflation over the