DC Witter Group economists say the recently approved, massive stimulus package for the US could mark a return to a rate of economic growth not seen in generations.
Economists at DC Witter Group are in agreement with the likes of Morgan Stanley and Goldman Sachs, both of whom have recently upgraded their forecasts for US GDP growth for 2021.
Goldman Sachs expects growth of 6.9% this year for the US, while Morgan Stanley is even more optimistic about the growth prospects for the world’s largest economy, predicting an impressive 7.3% growth.
DC Witter Group economists say the recently announced stimulus package, worth 1.9 trillion dollars, is much bigger than anyone had dared to hope for just a few months ago. The stimulus package, which will address the needs of state and federal agencies, workers, students and the much-needed vaccine rollout, has lifted the sentiments of economists regarding the US economy.
Combined with an acceleration of vaccination rollouts, the stimulus program will likely have a positive impact on the US jobs market. DC Witter Group economists believe that the rate of unemployment in the US will drop significantly before the end of this year and will continue to do so into next year.
“If these bullish predictions prove to be correct, this year will see the biggest expansion the US has seen in decades” said an economist at DC Witter Group.
DC Witter Group economists say the US’ potential for growth this year could have wide-reaching consequences for the rest of the world. The impact on global trade is likely to be significant. An increase in US imports and exports could help the global economy grow by as much as an extra percentage point this year.
