http://finance.yahoo.com/news/rbc-s-jonathan-golub--positive-on-markets-121152467.html
I think we should be optimistic about the economy now. Not only because the point the news mentioned such as no inflation, no business excess but also because the low unemployment rate, the increasing number of jobs and the wage growth in US. The federal reserve forecasts that the GDP growth rate would be 3% next year which is higher than this year.
4 comments:
This certainly echoes views from the Economic Outlook Conference. The panelist, especially Mark from the Fed, were thinking that the best years were to come in 2016 and 2017.
I agree our economy has stabilized and Tyler is right in saying the outlook conference supports the claim. With that said,some economists argue that our unemployment is low because labor force participation has also drastically gone down from pre-recession numbers. The is due to demographic changes and the baby boomers retiring as our generation begins to graduate and enter the job market, it will be interesting to see if the unemployment stays low.
I agree with Tyler and Nate. In relation to the unemployment rate, there has been a decrease in the labor force participation rate which show different results of the unemployment rate. I agree that our economy will be in great shape for the next couple of years, and with new fed policies that will be enacted, I am excited to see how our economy will perform beyond the projected time frame.
I also agree that this article goes well with what we learnt from the Economic Outlook Conference. The economy is supposed to be at the peak of its growth in 2016, reach saturation, and then gradually start slowing down from 2017. Due to the exceptional performances of the mid-western cities, unemployment rates have gone down rapidly in these areas, so I am curious to see how these areas perform when the inflation numbers go up and when the Fed finally raises the interest rate.
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