Could the U.S. be facing another recession?

WASHINGTON (Nexstar) — The useconomy shrank barely through the first quarter of 2022, which is inflicting individuals to wonder if they need to be apprehensive a few potential recession.

The drop in financial progress comes after a interval by which the economic system grew at its quickest charge in a long time in 2021.

“Effectively, I’m not involved a few recession,” President Joe Biden stated.

The economic system had an annualized decline of 1.4% within the first quarter of this 12 months. Nonetheless, President Biden says the larger image exhibits shopper spending and enterprise funding each grew.

“(They) elevated at important charges – each for leisure, in addition to onerous merchandise,” Biden stated.

Plus the President says unemployment is on the lowest charges since 1970.

Nonetheless, Senator Marsha Blackburn (R-Tenn.) says inflation continues to be a giant downside.

“If you’re going to have extra money chasing fewer items, you’re going to have inflation,” Blackburn stated.

Joann Weiner, an economics professor at George Washington College says issues could possibly be worse.

“Folks have jobs, however costs are going up,” Weiner stated. “Would I reasonably haven’t any inflation and no job? Or would I reasonably have a job and a few inflation? You recognize, I might say, I’d reasonably have some inflation but in addition have a job.”

Weiner additionally says there’s a risk this drop in progress is barely momentary. Each she and President Biden say, at the very least for this 12 months, most economists are usually not predicting a recession.

“I’d say you don’t really want to fret an excessive amount of about it now. There’s nothing you are able to do about it and it’s only one level,” Weiner stated.