Economics may be the so-called dismal science, but the latest forecast of ABA’s Economic Advisory Committee — with GDP growth projected at 7.2% for 2021 and 3.1% in 2022 — is anything but. On the latest episode of the ABA Banking Journal Podcast — sponsored by Finastra — EAC Chair and TD Bank Group Chief Economist Beata Caranci discusses the committee’s forecast. Among other topics, Caranci explores:
- Projections of inflation to exceed the Federal Reserve’s 2% target.
- The role of consumer savings in driving the recovery.
- How long the EAC expects it to take to return to full employment, and why many people over 55 are dropping out of the labor force.
- Why economists are seeing a much faster snap-back in business investment than expected and a post-pandemic uptick in entrepreneurship.
- How changes in supply chain management, such as onshoring, may effect growth and investment.
This episode is sponsored by Finastra.
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