{"id":2186441,"date":"2024-02-26T00:25:02","date_gmt":"2024-02-26T05:25:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/business-economists-now-overwhelmingly-expect-a-soft-landing-this-year\/"},"modified":"2024-02-26T00:29:03","modified_gmt":"2024-02-26T05:29:03","slug":"business-economists-now-overwhelmingly-expect-a-soft-landing-this-year","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/business-economists-now-overwhelmingly-expect-a-soft-landing-this-year\/","title":{"rendered":"Most business economists predict a smooth economic slowdown this year"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><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%2Fbusiness-economists-now-overwhelmingly-expect-a-soft-landing-this-year%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=2186441&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--><h2>The \u2062Economy \u2064Set to Expand and Avoid Recession, Say Leading Economists<\/h2>\n<p>The latest survey conducted by \u2063the National Association for Business Economics (NABE) reveals that the economy is expected to experience stronger growth than previously anticipated this year. Over three dozen economists now predict a\u2062 2.2% expansion in GDP, \u200da \u2062significant increase from the 1.3%\u200b growth \u200bforecasted in \u2064December.<\/p>\n<p>NABE President Ellen Zentner, who is also the chief U.S. economist at Morgan Stanley, attributes the improved growth forecasts\u200c to upward revisions\u200b in key sectors such as\u200c personal consumption expenditures, nonresidential fixed investment, residential investment, and government consumption expenditures and \u200bgross investment.<\/p>\n<h3>Optimism for a Soft Landing<\/h3>\n<p>Furthermore, a majority of economists, 76% to\u2064 be exact, believe that a &#8220;soft landing&#8221; is on the horizon for the economy \u2062this year. A soft landing refers to a scenario where the Federal Reserve is able\u2064 to control inflation\u200c through tighter monetary policy without causing a recession.<\/p>\n<p>The Federal Reserve has been <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/home-prices-hit-new-record-defying-higher-mortgage-rates\/\" title=\"Record-breaking home prices defy rising mortgage rates.\">gradually raising interest rates<\/a> since \u200bMarch 2022, with the target \u2063rate \u2062currently at 5.25% to 5.50%. However, concerns have been raised that keeping \u200dinterest rates too high for too long could push \u200dthe economy into \u200ca \u2063recession.<\/p>\n<p>Economists speculate that the central bank may pivot to cutting interest rates at some point this year. While the forecasted date for this move \u2062has been pushed back due to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/quinnipiac-just-discovered-an-8-point-flip-to-the-republicans-among-registered-voters\/\" title=\"Quinnipiac Just Discovered an 8-point Flip to the Republicans Among Registered Voters\">recent inflation reports<\/a>, it \u2062is now more likely to occur in the\u200c second\u2062 quarter.<\/p>\n<p>According to the CME Group&#8217;s FedWatch tool, which calculates \u2064the probability of rate\u200b changes based on futures contract prices, investors also believe that\u200b a pivot is most likely to happen in June.<\/p>\n<h3>Challenges in Achieving Inflation Targets<\/h3>\n<p>The Federal Reserve&#8217;s long-term goal is to maintain 2% inflation. However, the most recent consumer price index\u200d report shows that inflation fell slightly short\u2062 of expectations, standing at\u2064 3.1% for the \u200byear ending in January instead \u2062of the anticipated 2.9%.<\/p>\n<p>Despite this challenge, the overall outlook remains positive, with\u200c economists \u2063confident in the economy&#8217;s\u200b ability to expand and avoid\u2064 a recession.<\/p>\n<p><strong>Click here to read more from The Washington Examiner.<\/strong><\/p>\n<p> <\/p>\n<h2> \u2062 What factors \u200dhave contributed to the positive economic outlook\u2063 forecasted in the previous survey?<\/h2>\n<p><span>  Forecasted in the previous survey.<\/p>\n<p>This positive outlook is due to several\u2062 factors. Firstly,\u2062 the successful rollout\u200d of COVID-19 vaccines has \u200bled to a \u200bdecline\u2062 in \u200dinfection\u2064 rates\u2062 and <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/a-record-30-million-americans-will-board-flights-over-thanksgiving-heres-what-to-know\/\" title=\"A record 30 million Americans will board flights over Thanksgiving. Here's what to know\">increased consumer confidence<\/a>. As a \u2063result, businesses\u200c are reopening, and people are resuming their normal activities, leading to a boost in economic activity.<\/p>\n<p>Furthermore, government stimulus packages and supportive \u200bmonetary policies have played\u200b a crucial role in reviving the economy.\u200c Fiscal measures, such as\u2064 direct payments to individuals\u2064 and assistance to struggling businesses, have provided much-needed \u2064relief and stimulated \u200bspending.\u2063 Additionally, central banks \u200chave <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/no-conservatives-shouldnt-seek-to-emulate-richard-nixon\/\" title=\"Conservatives shouldn't copy Richard Nixon\">implemented accommodative monetary policies<\/a>, including\u200d low interest rates and asset\u200d purchases, which \u200bhave \u2062facilitated borrowing and\u200b investment.<\/p>\n<p>The positive momentum can also be attributed to \u200bthe \u2064resilience and adaptability of businesses during the pandemic. Many companies have successfully pivoted their operations to adapt to \u2063changing consumer behaviors and \u200dthe rise of remote work. This has allowed them to continue generating revenue despite the challenging \u200ccircumstances.<\/p>\n<p>The survey also highlighted that job growth is expected\u200b to pick up in \u2064the coming months. This is encouraging\u2064 news for millions of Americans who suffered \u200cfrom layoffs and unemployment during\u2063 the height of\u200b the pandemic. As businesses regain their footing, they \u200dwill\u200c be in a better position\u200c to hire new \u2064employees and contribute to reducing the unemployment rate.<\/p>\n<p>While the overall outlook is optimistic, there are still some risks \u200dthat \u200bcould derail the projected expansion. For instance, the emergence of new variants of\u2063 the \u200dvirus could lead\u2064 to renewed lockdown measures and \u2063restrictions, which would hinder economic growth. A sudden spike in inflation could also pose\u200c challenges, potentially leading to higher \u2063interest rates and dampening consumer spending.<\/p>\n<p>Nevertheless, the economists\u2063 surveyed by NABE remain confident in their assessment that the \u200beconomy will steer clear of a recession. They believe that\u2064 the \u200ccombination of vaccine progress, strong \u2063fiscal and monetary support, and the \u200dadaptability of businesses will be \u200csufficient to sustain the economic growth.<\/p>\n<p>In conclusion, the\u2063 latest survey conducted by NABE indicates \u2063that the economy is poised \u2063to expand at \u2064a faster pace than previously anticipated. This optimistic\u200b forecast is attributed \u2062to \u2064successful\u2062 vaccination efforts, government stimulus packages, and the resilience of\u200b businesses.\u2062 While there are risks that could\u2064 hinder growth, economists are \u2062confident that the economy will \u200cavoid \u2063a recession\u2064 and continue on a positive trajectory. As \u2064we move forward, it will be\u200d crucial to \u2064monitor these developments closely\u2063 and adapt \u2063policies accordingly to ensure sustained economic prosperity.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The economy is projected to grow beyond expectations this year, with the Federal Reserve likely achieving a smooth transition and preventing a recession, according to a recent survey by the National Association for Business Economics. The survey, conducted in February and released on Monday, revealed a positive outlook among leading business economists<\/p>\n","protected":false},"author":2683,"featured_media":2186442,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/wex-s3.s3.us-east-1.amazonaws.com\/wp-content\/uploads\/2023\/12\/home-construction.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[],"class_list":["post-2186441","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner"],"fifu_image_url":"https:\/\/wex-s3.s3.us-east-1.amazonaws.com\/wp-content\/uploads\/2023\/12\/home-construction.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2186441","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\/2683"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2186441"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2186441\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2186442"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2186441"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2186441"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2186441"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}