Economists, Biden say recession possible, not inevitable

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Economists, Biden say recession possible, not inevitable
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Economists, Biden say recession possible, not inevitable abc15

A group of economists surveyed by the Wall Street Journal placed the chances of the United States entering a recession in the next 12 months at 44%.

The odds of a recession have jumped greatly from past surveys. In January, the WSJ’s survey placed the odds at 18%. Those chances increased to 28% in April. While unemployment generally goes up during periods of recession, the experts surveyed believe unemployment will remain below 5%. They expect unemployment to creep up from 3.6% currently to 4.2% at the end of 2023.Although the S&P 500 has lost 24% of its value since the start of the year, President Joe Biden told reporters Monday that a recession is not inevitable. Part of what is sparking concern for a recession is the Federal Reserve’s latest interest rate hike.

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