United States Growth and the Singapore Dollar

The health of the current U.S. economy appears to be growing gradually. The second quarter real GDP growth was 3.7% and the unemployment rate declined to 5.3%. The U.S Federal Reserve (Fed) is expected to raise interest rates in the near future when it sees clear signs of strong economic growth and improvements in the job market.

Alternatively, USA demonstrates strong growth in manufacturing with consistently high PMIs despite the decreasing rates of growth and hence expansion is expected in the coming period. By the increase of capital expenditure, earnings for private sectors are also expected to

The United States is the leading economy across the globe and experienced several tribulations in the recent past following the 2008 global recession. Despite these recent challenges, there are expectations among policymakers and financial experts that the country will experience solid economic growth. Actually, financial analysts have stated that the U.S. economy will be characterized by increased consumer spending, increased investments by businesses, reduced rate of unemployment, and reduction in government cut. Some analysts have also stated that the country’s economy will strengthen in 2014 with an average of 2.7 percent or more. However, these predictions can only be understood through an analysis of the current macroeconomic

The Great Recession lasted from December of 2007 until June of 2009, making it the longest recession since World War II. During this time, gross domestic product (GDP), inflation, unemployment, and interest rates were all greatly affected. The previously mentioned metrics are used to compare today’s economy to the economy during the Great Recession to see how the United States has rebounded since 2009. Monetary and fiscal policies were also implemented to combat the recession, and their effects determine whether or not the policies have a lasting effect in continuing to help the U.S. economy rebound.

As the newly appointed President of the local Chamber of Commerce, I will make a presentation of the trends, statistics and forecasts of the U.S Gross Domestic Product to give the business leaders an idea of what is the outlook of our economy. Based on the economic statistics from the Bureau of Economic Analysis (BEA) among other sources, I will provide a detailed up-to-date image of the United States economy.

• As previously stated in the executive summary, the United States’ economy is currently stagnating. From week to week we may see a rise in one indicator while there is a fall in another indicator, but none of the rises or falls are drastic enough to have an overwhelming impact on the economy as a whole. Although the economy is not near as strong as it was before the 2008-2009 recession, arguably one of the biggest economic crises of the past decade, there has been much growth and strength throughout the past few years with this year being the first year in which the economy is in somewhat of a holding pattern. I believe, that even with the little growth and movement of the United States economy over the past year, it is still perhaps one of the strongest economies in the world at the moment.

Gross domestic product, the largest evaluate of products or services created in the U.S., increased at an yearly rate of 4.6 percent in the second quarter, that changed past 4.2 percent reading and equaled the strongest quarter of the five-year-old recovery, related the final three months of 2011. Consumers are stepping up spending only slightly, as a increase in job development this year has yet to convert into considerably higher salaries. Temporarily, a lenient global economy remains to weigh on the U.S. as dropping growth in Europe and Asia restrains American exports.

As a result of the Great Recession of 2007 to 2009, the United States government implemented various fiscal policies in an effort to stimulate the economy. How the government responded as well as how those responses will affect the U.S. economy into the future are the focus of a proposed research study. In order to ensure an appropriate focus for the proposed research study, problems in existing literature must be evaluated.

Meanwhile, strengthening activity has also been registered in the service sector: the ISM’s Report on Non-Manufacturing Business also increased significantly in September. Recent readings of live GDP forecasts for Q3, courtesy of the Federal Reserve Bank of Atlanta, have been trending upwards over the past few weeks, the latest being +2.7%. Carrying such momentum into Q4 would, therefore, suggest more labour market tightening, thereby further justifying an increase in the federal funds rate in December. Crucially, both ISM Surveys indicate that price pressures have been rising significantly over the past four months, helping to support Fed Chair Yellen’s view that weaker-than-expected inflation is attributable to transient forces.

In the current economic trends and projections, we currently use macro predictions that uses the Gross Domestic Product (GDP) to determine if the economy is growing or dropping. Each quarter the Congressional Budget Office puts out figures that economist use to determine future bench marks. The bench marks that economist use other than GDP are: economic variables of employment, inflation, interest rates, consumer spending and trade balance. If these variables are favorable, then the economy will be good. On the other hand, negative variables mean the economy is suffering. Again, these are just projections that can be higher or lower than the predicted outcome. These predictions will also differ than most this quarter due to the

These leading economic indicators give the general direction that the U.S. economy is headed. The data indicates that there may be a slowing of growth within the economy. There is no strong indication of economic downturn, but the slowing of growth indicated could hint at an increased chance of downturn in the more distant future. Taking the lagging indicators into account as well, it can be seen that the U.S. economy has slowly grown as it was recovering from the 2008 downturn, but the future holds the possibility of slowing growth in certain

The current rate of GDP growth, according to the Bureau of Economic Analysis, is 2.7% (for Q3), and it was 1.3% in Q2 of this year. This rate reflects relatively slow growth, with challenges remaining in the domestic market and with sluggishness in Europe suppressing exports to that region. The rate of GDP growth is predicted to slow to a decline of 0.5% between Q4 2012 and Q4 2013, the US re-entering recession, according to the Congressional Budget Office's projections. These projections are based on the provisions of the Budget Control Act being enacted, though any observers are doubtful that this will occur.

There has been a rise in the unemployment rate from 5% in 2008 to 8.2% in 2012. This shows that the economy of the country is not healthy (Heertje & Perlman, 2010). As it implies that industries are either unwilling to employ, or the power of the economy to absorb the existing workforce is low. The inflation rate has been declining over the past five years. The decline in inflation and increase, in unemployment, suggest that poor performance in an economy (Heertje & Perlman, 2010). Comparing with five years ago there is a high expansion of capital market in the united state than the general economic growth.

In 2014, the most recent complete fiscal year, the Gross Domestic Product (GDP) of the United States was $17.42 trillion (The World Bank, 2015). This is an increase of 3.9% over the 2013 GDP of $16.7 trillion and a drastic 17.2% increase over the GDP just 5 years ago in 2010 (Trading Economics, 2015). The US GDP represented 28.1% of the total world economy during that time (Trading Economics, 2015). Along with the improved GDP, the US has also experienced a reduction in the unemployment rate. The unemployment rate at the beginning of 2010 was 9.8% and it fell to 5.6% by the end of 2014 (United States Department of Labor, 2015).

The latest report from the Bureau of Economic Analysis shows positive growth in the U.S. economy. This year’s GDP growth rate began as a measly 1.2% but by the second quarter has grown to 3.1% (Soergel, 2017). This growth can be attributed to the increase in personal consumption expenditures, the surge in private investments in equipment, and export growth reaching its highest point in almost four years (Soergel, 2017). However, this is not likely to be a recurring trend in the next quarter due to the recent hurricane damage. Trump will most likely place this blame on Puerto Rico as they have “thrown our budge a little out of wack” but none the less he is not shying away from revelling in the economic growth. While many believe the hurricane will impact GDP growth negatively in the next quarter the FED’s potential to increase the interest rate is still a strong possibility.