In a recent survey, most business economists believe the U.S. will fall into recession by 2021. Days after the market euphoria over a ceasefire in the ongoing trade war between China and the U.S., a new study has suggested that things might not really be so rosy for the U.S. economy moving forward.
In fact, half of the business economists who were questioned believe that the U.S. economy will officially fall into a recession by 2020. This figure goes up to around 75 percent in relation to the possibilities of a recession by 2021. Nearly 300 members of the National Association for Business Economics (NABE) participated in the survey and only 11 percent of those questioned believe the U.S. will avoid a recession in the next two years.
With the current head honcho always very quick to blow his own horn when it comes to exactly how well the U.S. economy is doing under his watch, it’s likely that this news will not be something that gets a retweet.
The United States is currently experiencing an economic expansion of pretty epic proportions. Since the end of the financial crisis in 2009, the country has been on a consistent upturn and if growth was to continue until June of this year, it would mark the nation’s longest ever period of expansion.
The economy certainly looks strong from the outside, with low unemployment rates, high rates of spending, and strong markets, but a few cracks have started to appear in recent months. This has been most clearly evidenced in wild volatility in the securities markets and the worrying trend of falling consumer confidence in the overall state of things. The much-publicized trade war with China has also taken a toll which can’t be fully appreciated yet.