Filling you in on the current state of the economy.
- Prolonged economic weakness following the Great Recession and slow growth in potential output has led to a debate on the risk of stagnation— a prolonged period characterized by low interest rates, low inflation rates, slow potential growth, and a level of output below potential. Current economic conditions, however, suggest that the economy continues to recover. In the five years following the end of the recession, real GDP grew at a steady, albeit modest, average annual rate. And according to the latest CBO forecast, real GDP growth is expected to pick up in the next few years. Read more