The growth in this quarter is much slower than the previous quarter.
On Friday a government report has been released which says lower federal spending and rising imports is the reason for low growth.
Economists have predicted a better growth rate in the final quarter but the result was opposite to their expectations.
The growth rate for all 2014 is at 2.4 percent, which is better than the previous year’s growth rate.
According to the economists, growth in the first few month of this year may have been hurt due to the winter weather and the dollar getting stronger.
The rising value of the dollar means that the goods made by U.S are expensive in the global markets which in turn will affect the exports.
A study by the University of Michigan showed that the consumers were less optimistic in March because of the winter weather which has caused cut in the working hours and also the gasoline prices rebounded slightly.
Consumer attitude is been closely watched in U.S. because they are the ones who drives most of the U.S. economic activity.
The decline in the oil price would boost consumer confidence and spending.