Topic: The U.S. economy contracted sharply in the first quarter of 2020 - page 3. (Read 830 times)
The process of country economic recovery for America will be very expensive and they dont care what it will cost the Government. They understand how important it is to start early even without containing the spread of the virus. The clause to the available business loan should absorb a large number of unemployed citizen in short while but the inflation is lightly spoken about, which I think may be devastating on the long term. It is important that the government open the borders early for export, import and other migration process.
But I dont understand why so much. USA went in lockdown only at end of March. Europe started around 10th March. USA was at least 10 days latter. How can GDP drop almost 5% when Jan and Feb were positive? How can be the 2020 predictions for USA around 5%? Q2 GDP drop will be catastrophic!!!
Venues were shutting down, people stopped traveling and going to restaurants and bars, etc. weeks before governors issued lockdown orders. The fear of the pandemic (and the economic impact) is a much larger force than the government orders themselves. GDP growth was already weak heading into all of this too.
Q2 numbers will probably be brutal, yes. Most estimates are in the 40%+ contraction range. Somehow, there is still optimism for a V-shaped recovery in the second half of the year. I am not convinced of that myself.
The U.S. economy contracted at its fastest rate since the Great Recession.
GDP fell 4.8% in January to March, compared to the previous quarter.
Consumer spending fell sharply.
https://www.weforum.org/agenda/2020/04/the-u-s-economy-contracted-sharply-in-the-first-quarter-of-2020
But I dont understand why so much. USA went in lockdown only at end of March. Europe started around 10th March. USA was at least 10 days latter. How can GDP drop almost 5% when Jan and Feb were positive? How can be the 2020 predictions for USA around 5%? Q2 GDP drop will be catastrophic!!!
GDP fell 4.8% in January to March, compared to the previous quarter.
Consumer spending fell sharply.
https://www.weforum.org/agenda/2020/04/the-u-s-economy-contracted-sharply-in-the-first-quarter-of-2020
But I dont understand why so much. USA went in lockdown only at end of March. Europe started around 10th March. USA was at least 10 days latter. How can GDP drop almost 5% when Jan and Feb were positive? How can be the 2020 predictions for USA around 5%? Q2 GDP drop will be catastrophic!!!
Well to prevent the Q2 GDP from being worse they need to open the economy first. Hence why they are slowly trying this now with different states. Most likely they will see if the curve stays flattens and if it does other states will follow. However if it fails and the open states get an exponential increase of cases then obviously everything will be locked down again.
The USA closed later because the planes were banned to and from China and trump assumed this would be enough. However I think the people who were travelling from Iran and Italy were the ones that brought it into areas such as Washington and New York and made a huge impact.
Things are looking very bad and hence why we need that vaccine as soon as possible.
The U.S. economy contracted at its fastest rate since the Great Recession.
GDP fell 4.8% in January to March, compared to the previous quarter.
Consumer spending fell sharply.
https://www.weforum.org/agenda/2020/04/the-u-s-economy-contracted-sharply-in-the-first-quarter-of-2020
But I dont understand why so much. USA went in lockdown only at end of March. Europe started around 10th March. USA was at least 10 days latter. How can GDP drop almost 5% when Jan and Feb were positive? How can be the 2020 predictions for USA around 5%? Q2 GDP drop will be catastrophic!!!
GDP fell 4.8% in January to March, compared to the previous quarter.
Consumer spending fell sharply.
https://www.weforum.org/agenda/2020/04/the-u-s-economy-contracted-sharply-in-the-first-quarter-of-2020
But I dont understand why so much. USA went in lockdown only at end of March. Europe started around 10th March. USA was at least 10 days latter. How can GDP drop almost 5% when Jan and Feb were positive? How can be the 2020 predictions for USA around 5%? Q2 GDP drop will be catastrophic!!!
Jump to: