Consumer spending increases

Wages, salaries also rose in November after drop caused by Superstorm Sandy.

WASHINGTON — Consumers spent and earned more in November, reflecting a rebound from the disruptions caused by Superstorm Sandy.

The Commerce Depart- ment said Friday that consumer spending rose 0.4 percent compared with October. Personal income jumped 0.6 percent, the biggest gain in 11 months.

Economists noted that the spending and income growth in November was a healthy sign for the economy, especially in the midst of anxiety and uncertainty from the stalemate in Washington over the fiscal cliff.

Wages and salaries rose $41 billion in November. Sandy had reduced wages at an annual rate of $18 billion in October. Spending had fallen 0.1 percent in October compared with September.

With income rising faster than spending, the saving rate rose to 3.6 percent of income in November. That was up from 3.4 percent in October.

Concerns have been rising that income growth has been too weak to support sustained increases in spending, especially when Americans are worried about possible tax increases in the new year from the “fiscal cliff.” That’s the name for automatic tax increases and spending cuts due to take effect in January unless Congress and the Obama administration reach a budget deal before the new