Advance. In a scenario of moderate and low inflation unemploymentthe US economy continues to grow.
The US economy advanced 2.1% during 2022 compared to 2021, According to the first calculation of the annual gross domestic product, made by the Bureau of Economic Analysis (BEA).
It is so that the GDP The US advanced 0.7% compared to the previous quarter, which would mean an annual growth rate of 2.9%. These figures are even higher than the annual increase expectations estimated by the International Monetary Fund (IMF)which in its latest report indicated that the country’s economy would grow only 1.6% in 2022. This rise of seven tenths occurs within the framework of moderate inflation, low unemployment and continuous uncertainties in the supply chain.
Recovery
Although the US closed last year with lower growth than that registered in 2021 (5.9%), fears of a possible recession after the first two quarters of decline have diminished.
“This has been the fastest economic recovery we’ve seen since 1953,” Alejandra Castillo, the Commerce Department’s undersecretary for Commerce and Economic Development, told the outlet. EFE. This is in reference to the economic slowdown that the US experienced in the second quarter of 1953 and which lasted only until the first three months of the following year.
In addition, the official highlighted in a positive way the measures that the Government of Joe Biden has taken to strengthen the economy. Nevertheless, quarter-on-quarter growth has slowed slightly behind the decline in exports, the pace of non-residential fixed investment, state and local government spending, and consumer spending.
rate hike
The Federal Reserve (Fed) in December had its last rise in reference rates, the seventh since March. This time, the increase was half a point, a small percentage compared to the four consecutive high increases in 2022. There is uncertainty about the next increases, but, on January 31 and February 1, members of the Federal Open Market Committee (FOMC) of the fed They will decide what the next increment will be.
The key
Expectations. For this year, a possible setback is feared. “The US economy will suffer a slight recession in 2023, driven by the restrictive monetary policy of the Fed,” estimated Ryan Sweet, head of Oxford Economics. For its part, the IMF indicated that it would only advance 1%.
Source: Larepublica
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