Boosted by the government’s “cash for clunkers” automobile program, the U.S. economy expanded 3.5 percent for the first increase in a year, according to the Commerce Department. Durable goods purchases, which include autos, jumped 22 percent. Excluding auto sales, production and inventories, the economy expanded 1.9 percent for the quarter. In good news for the trucking industry, residential construction rose at an annual rate of 23% last quarter, the first gain in almost four years.

The U.S. economy expanded at a 3.5% annual rate in the third quarter, marking the first increase in a year, the Commerce Department said Thursday.

The gross domestic product gain topped economists’ forecasts of a 3.2% increase, Bloomberg reported. Household purchases rose 3.4%, the most in two years.

GDP fell 0.7% in the second quarter and the economy had contracted 3.8% in the 12 months through June, the worst such performance in 70 years, Bloomberg reported.

A big part of the consumer spending increase was pegged to the government’s “cash for clunkers” automobile incentive program, Commerce said.

Durable goods purchases, which include autos, jumped 22%. Excluding auto sales, production and inventories, the economy expanded 1.9% for the quarter.

Residential construction rose at an annual rate of 23% last quarter, the first gain in almost four years.

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