{"id":1571882,"date":"2022-07-26T14:36:12","date_gmt":"2022-07-26T18:36:12","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1571882"},"modified":"2022-07-26T14:36:20","modified_gmt":"2022-07-26T18:36:20","slug":"united-states-expected-to-lag-other-advanced-economies-in-growth","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/united-states-expected-to-lag-other-advanced-economies-in-growth\/","title":{"rendered":"United States Expected To Lag Other Advanced Economies In Growth"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"float:left\"><div class=\"counts mashsbcount\">20<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Funited-states-expected-to-lag-other-advanced-economies-in-growth%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=1571882&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>The International Monetary Fund (IMF) expects much lower global <a href=\"http:\/\/dailywire.com\/topic\/economy\">economic<\/a> growth, according to a World Economic Outlook <a href=\"https:\/\/www.imf.org\/en\/Publications\/WEO\/Issues\/2022\/07\/26\/world-economic-outlook-update-july-2022\">report<\/a> released on Tuesday.<\/p>\n<p>The worldwide economy is expected to grow 3.2% in 2022 and 2.9% in 2023 \u2014 which mark respective 0.4% and 0.7% downward revisions from the international financial institution\u2019s April forecasts, according to the report.<\/p>\n<p>\u201cThe risks to the outlook are overwhelmingly tilted to the downside,\u201d the IMF explained. Among other factors, the group cites <a href=\"http:\/\/dailywire.com\/topic\/supply-chain\">supply chain<\/a> issues, the <a href=\"http:\/\/dailywire.com\/topic\/russia\">Russian<\/a> invasion of <a href=\"http:\/\/dailywire.com\/topic\/ukraine\">Ukraine<\/a>, debt distress in emerging markets, renewed COVID lockdowns, and persistent <a href=\"http:\/\/dailywire.com\/topic\/inflation\">inflationary pressures<\/a>.<\/p>\n<p>\u201cWith increasing prices continuing to squeeze living standards worldwide, taming inflation should be the first priority for policymakers,\u201d the report said. \u201cTighter monetary policy will inevitably have real economic costs, but delay will only exacerbate them. Targeted fiscal support can help cushion the impact on the most vulnerable, but with government budgets stretched by the pandemic and the need for a disinflationary overall macroeconomic policy stance, such policies will need to be offset by increased taxes or lower government spending.\u201d<\/p>\n<p>Citing \u201csignificantly less momentum in private consumption, in part reflecting the erosion of household purchasing power and the expected impact of a steeper tightening in monetary policy,\u201d the IMF cut growth forecasts for the United States to 2.3% in 2022 and 1% in 2023 \u2014 downward revisions of 1.4% and 1.3% from the April estimates. The United States is therefore expected to recover more slowly through 2023 than the average advanced economy, while China is slated to grow at 3.3% and 4.6%.<\/p>\n<p>\u201cFurther supply-related shocks to food and energy prices from the war in Ukraine could sharply increase headline inflation and pass through to core inflation, triggering a further tightening in monetary policy,\u201d the IMF added. \u201cLabor market tightness is historically high in several economies, and workers could increasingly demand compensation for past increases in the cost of living.\u201d<\/p>\n<p>The dismal report comes ahead of the U.S. Bureau of Economic Analysis <a href=\"https:\/\/www.bea.gov\/news\/schedule\">publishing<\/a> an advance estimate of second-quarter gross domestic product (GDP) growth later this week \u2014 a reading that is expected to show that the economy <a href=\"https:\/\/www.atlantafed.org\/cqer\/research\/gdpnow\">shrank<\/a> at a 1.6% annualized pace from April to June. Because the economy likewise <a href=\"https:\/\/www.dailywire.com\/news\/united-states-economy-shrinks-in-the-first-part-of-2022\">contracted<\/a> at a 1.5% rate in the first quarter, the United States may have experienced two consecutive quarters of negative growth \u2014 meeting the <a href=\"https:\/\/cals.ncsu.edu\/news\/you-decide-are-we-already-in-a-recession\/#:~:text=There%20is%2C%20however%2C%20a%20%E2%80%9C,%2C%20that%20is%2C%20six%20months.\">rule-of-thumb definition<\/a> for a recession.<\/p>\n<p>Yet the White House \u2014 which has <a href=\"https:\/\/www.dailywire.com\/news\/white-house-again-claims-u-s-stronger-economically-than-we-have-been-in-history\">repeatedly insisted<\/a> in recent weeks that the nation is \u201cstronger economically than we have been in history\u201d \u2014 has been laying out its economic case ahead of the growth report.<\/p>\n<p>\u201cWhile some maintain that two consecutive quarters of falling real GDP constitute a recession, that is neither the official definition nor the way economists evaluate the state of the business cycle,\u201d the White House said in a Thursday <a href=\"https:\/\/www.whitehouse.gov\/cea\/written-materials\/2022\/07\/21\/how-do-economists-determine-whether-the-economy-is-in-a-recession\/\">blog post<\/a>. \u201cInstead, both official determinations of recessions and economists\u2019 assessment of economic activity are based on a holistic look at the data \u2014 including the labor market, consumer and business spending, industrial production, and incomes. Based on these data, it is unlikely that the decline in GDP in the first quarter of this year \u2014 even if followed by another GDP decline in the second quarter \u2014 indicates a recession.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The International Monetary Fund (IMF) expects much lower global economic growth, according to a World Economic Outlook report released on Tuesday. The worldwide economy is expected to grow 3.2% in 2022 and 2.9% in 2023 \u2014 which mark respective 0.4% and 0.7% downward revisions from the international financial institution\u2019s April forecasts, according to the report. &#8230;<\/p>\n","protected":false},"author":1,"featured_media":1517869,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[],"class_list":["post-1571882","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1571882","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=1571882"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/1571882\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/1517869"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=1571882"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=1571882"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=1571882"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}