The Federal Reserve issued a new economic forecast that shows economic growth continuing and the economy having a soft landing from the pandemic that avoids a recession.
The Fed also released its latest forecasts for the economy: https://t.co/Cz8GXXTc7i
It has marked up economic growth *substantially* for this year, suggesting that it sees the economy as gliding in for the soft landing it hoped for. These numbers no long look recessionary. pic.twitter.com/bAoBrvJfFn
— Justin Wolfers (@JustinWolfers) June 14, 2023
The Federal Reserve has paused its program of rate increases after ten consecutive rate hikes.
ABC News reported:
The decision came a day after fresh data showed consumer prices rose 4% last month compared to a year ago, cooling more than economists expected and bolstering hopes that inflation will continue its steady return to normal levels.
Inflation has fallen significantly from a peak last summer but remains at a level double the Federal Reserve’s target of 2%.
The central bank “is strongly committed to returning inflation to its 2 percent objective,” the Federal Reserve said in a statement on Wednesday.
This is an important moment for the US economy, and it is good news for President Biden and the Democrats who are running for office in 2024. There likely will not be a recession to help Republicans in the 2024 election.
The scenario that is being set up could be a nightmare for Republicans. Biden and Democrats could be running on a good economy as Republicans run Trump and his anchor of indictments and legal woes at the top of their party.
Republicans needed a recession to boost their case for change in 2024. A good economy usually means that an incumbent president gets reelected, as Joe Biden will be able to ask voters if they are better off than they were four years ago, and the answer will be yes.
Jason is the managing editor. He is also a White House Press Pool and a Congressional correspondent for PoliticusUSA. Jason has a Bachelor’s Degree in Political Science. His graduate work focused on public policy, with a specialization in social reform movements.
Awards and Professional Memberships
Member of the Society of Professional Journalists and The American Political Science Association
This story originally appeared on Politicususa
