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U.S. Economists are Optimistic about Growth

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Economists working for U.S. businesses are more optimistic about growth this year. According to the L.A. Times, experts are forecasting growth to accelerate this year after a slow start caused by the severe winter weather. The icy polar vortex definitely weighed in during the first quarter.

A survey released on Monday by the National Association for Business Economics projects the economy to expand at a 2.8% annual rate this year. Last year’s expansion rate was 1.9%.

Jack Kleinhenz, chief economist of the National Retail Federation reported that, “Despite a challenging start to the year in which adverse weather conditions will likely shave nearly one half of one percentage point from first-quarter real GDP growth, NABE’s March 2014 Outlook Survey panel expects the pace of economic expansion to accelerate this year — and next,” according to the L.A. Times.

“The outlook for 2014 is strengthening,” Jack Kleinhenz, president and chief economist at Kleinhenz and Associates stated, according to Black Press USA. Despite the brighter economic outlook, the pace of hiring is not expected to increase, the survey said. It has been reported that the 48 economists surveyed expect slightly less labor market growth this year.

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A majority of the economists surveyed predicted there would be “little material impact on business conditions” from the implementation of health care reform this year or the anticipated reductions in the Fed’s bond-buying program.

Image credit: www.businessadministrationinformation.com

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Jaan Posted by on March 24, 2014. Filed under Business News,Home. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.

 

 

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