David Wessel, a journalist and director of the Hutchins Centre on Fiscal and Monetary Policy at the Brookings Institution, shared an article on the Wall Street Journals’ forecasters finding rising optimism of the US economy poised for the best growth since 1983, despite the highest ever recorded inflation lurking.
According to economists, federal stimulus and Covid-19 vaccinations have boosted the GDP outlook and consumer prices.
Forecasted data suggests a GDP of 5.59% in the first quarter of 2021, 8.15% in the second, 6.92% in the third quarter, and 5.09% in the last quarter of the year.
Economists state that the economy bore an incredible shock because of the coronavirus pandemic, but is now set for a rapid recovery in the next three to five years.
Experts also claim that the boom will be accompanied by inflation.
The latter is expected to jump sharply from 1.7% in February after the March data is released.
However, these figures will be tempered by the knowledge that declines in consumer prices, recorded at the beginning of the Covid-19 outbreak in March 2020, will have dropped from the 12-month calculation.