Is the United State economy going to a recession? This is the biggest question being asked by the banks, investors, local government and the consumers. According to the economist, the country’s economy is not going to recession any time soon but the economic growth of the United States is expected to slow down in 2019.
2018 has been a great year for the USA economy as the country has experienced a 3.5% growth in the third quarter and 4.2% growth in the second quarter. The growth was attributed to the consumers spending more, companies investing in inventories and the local government maintained their spending this is according to the United State Bureau of economic analysis.
The economist expects the U.S gross domestic product (GDP) growth to slow down at 1.8% in the third quarter and 1.6% in the fourth quarter this according to Goldman Sachs an economic analyst.
According to the government, there is no possibility of recession any time soon. This is according to Larry Kudlow who serves as the president of the national economic council under Donald Trump. He rubbished the allegations that recession is around the corner and said the economy has already growing and it is not expected to fall any time soon any time soon. Other economists also do agree with him stating that the chance of recession is very low at 35%.
The Economic growth of the United States of America is expected to slow down as the environment is not favorable for business. There has been an increase in interest rates and therefore making borrowing more expensive for consumers and companies, and aggressive trade policies in the trump administration.