U.S. Economy To Grow 2.4% In 2012

27 February 2012 - Which Way to Pay

U.S. Economy To Grow 2.4% In 2012

An economic survey released today has said the US economy will grow a respected 2.4 % this year with unemployment remaining steady and consumer spending subdued. The National Association of Business Economics (NABE) forecast that the gross domestic product growth rate is 0.1 % considerably lower than the US Federal Reserve’s 2.5 % forecast released last month. Gene Huang, NABE president said that many are seeing strength in a number of economic measures and that, “Forecast uncertainty among the economists appear to have diminished slightly over the last several months,” while they, “remain guarded on U.S. economic growth.”

However, they have raised their expectations for employment, new home construction and business spending for 2012. Payrolls will rise 170,000 a month on average this year, up from a prediction of 127,000 according to the service. Unemployment will average 8.3% down from an 8.9% prediction. Inflation is expected to stay contained even as the economy expands. The cost of living index will rise 2.1 %, less than the 2.2 % annual average increase forecasted last year.