Current Macroeconomic Situation in the US

648 Words Feb 2nd, 2018 3 Pages
The evidences are its striking economic situation that is growing adverse day by day. By the end of March 2012, the unemployment rate of US had preceded by 8.2%. Although the GDP growth, income and consumption are not adverse until, the date but they are still below the trend rates that are not showing a positive response towards the future economic situation of the country. The estimated GDP growth is 2% for the year 2012 and 2013 (El-Agraa, 2011).
The story does not end here, the real problem is the trade deficit and US debts that are destroying the economy and future plans of the people regarding the investments. The country is facing twin debts at a time; the national debt taken from the natives, and the debt from the other nations that has also to be return eventually. The remaining problem covers the trade deficit that has no chances of recovery in the near future (El-Agraa, 2011).
The good aspect is that the economists are trying to overcome the recession and according to Federal Open Market Committee (FOMC), the real gross domestic product will grow by the end of this year at about 3.5%. GDP has also increased its value in the past three quarters continuously (El-Agraa, 2011) making annual GDP growth rate 3.6%. The consumer price index was at 230 in April 2012 and the inflation rate for the current year is 2.3%…