BBC News | September 11: One year on

The American economy had been in a recession before 11 September. The terrorist attacks - which shut down financial markets and airline travel for a week - severely damaged business and consumer confidence initially. A rapid cut in interest rates helped avoid a meltdown, and economic growth resumed early in 2002. However, a series of corporate scandals has undermined confidence and led to big falls on the stock market. Business investment remains weak and consumer confidence has been further dented, while growth has slowed again. The huge trade deficit has worried international investors who have pulled out of the US, causing the dollar to fall.

BBC News Online's North America business reporter David Schepp looks at the economic outlook for the world's largest economy.

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Key Facts

Economic growth Q4 2001: -1.3%, Q2 2002: +1.1%

Unemployment: Sept 2001: 4.9%, July 2002: 6.0%

Budget surplus: Sept 2001: +$102bn, August 2002: -$145bn

Dow Jones index: 11 Sept 2001: 9605, 30 August 2002: 8640