The article “After a huge year for growth, the U.S. economy is about to slam into a wall” that explains the American economy effectively and shows the prospects of its development is by Cox, titled “After a huge year for growth, the U.S. economy is about to slam into a wall” and published on CNBC’s website.
This article examines the growth of the American economy during the last year, which has been significantly affected by the COVID-19 pandemic. During the pandemic, many businesses were forced to close, and therefore, the economy was under pressure.
Still, Cox states that the annual GDP growth has been at 5.7%, and the growth has been the most significant since 1984. The government’s policies targeting the support of the economy have been helpful in facilitating this growth and mitigating the consequences of the pandemic.
The beginning of 2022 has shown a growth trend for the state’s economic development. Based on the author’s assertions, the significant growth of the economy has been mainly attributed to inventory. The companies were rebuilding their inventories, which contributed to substantial GDP growth. However,
Cox warns that moving forward, the growth is not going to be as significant, and the economy will enter a recession. According to the author’s prognosis, this will happen despite the government’s support and efforts to facilitate growth. Hence, based on this analysis, one can assume that in the following years, the economy of the United States will enter a recession and will have to recover from the consequences of the pandemic and global instability.
The article by Cox can be accessed through the following link: “After a huge year for growth, the U.S. economy is about to slam into a wall”