Recovery not being driven by a new credit boom

The Federal Reserve's third-quarter financial accounts help to dispel two myths about the recovery. First, the pick-up in GDP growth over the past few quarters is not being driven by a renewed boom in credit. Second, non-financial businesses are not holding an excess of cash nor are they under-investing. The lack of any credit boom suggests that the stronger recovery is sustainable, although there appears to be less scope for a big surge in business investment.