A survey on the recent threat to economic growth due to the tariffs announced by President Trump was published. The survey mentions the economic predictions for the year 2018 and 2019. There was a steady growth in the economy of over 3 percent in the year 2018. It is predicted that the economic growth would drop in the year 2019. Economists state that the current growth economy is temporary and they consider the trade policies suggested by Trump would be a significant threat to the economy.
There is a significant threat to the U.S economy due to the trade war and monetary policies. The CNBC Fed survey predicts good times for U.S economy but the concerns mentioned above should be noted as it would be a serious threat to the growth of the economy.
Inflation rates are low and so are the unemployment rate. The outcome of the treasury experienced a rise of nearly 3.5 percent. There were several respondents for the survey who offered both negative and positive statements on the economic growth of the country. Majority of the respondents of the survey which include economists, financial analyst, etc. predicts that the current increase in the economy is temporary. Economists also consider the trade policies as the biggest threat to the economy.
The Federal Reserve policy would play a key role and affect the economy of the country. The rise in interest rates would be a significant risk to the economy. The major decisions taken by the Government are the cause for the threat.
It is said that there is a potential for the economy to improve in the upcoming years.