Although inflation affects large and small economies alike due to the rise in the price of raw materials, in the United States an extremely stressed labor market is added due to the fact that there is a huge supply and low demand, so thousands of job offers remain empty. This situation forces employers to raise wages and transfer costs to consumers.
Runaway inflation in the United States is already worrying American economists a lot. The investment bank Goldman Sachs has warned this Sunday that the chances of the country entering a recession in the next two years are increasing at times, and according to their calculations they are already 35%more than one out of three.
The entity’s chief economist, Jan Hatzius, detailed in a report published by Bloomberg that the problem facing the US is not inflation itself, but the response applied by the Federal Reserve to stop price escalation.
This month there has been a succession of surveys that predict a recession in the US in the medium term. A Bloomberg survey conducted in the first week of April among economists revealed that 27.5% expect a recession, compared to 20% of those surveyed the previous month. Another poll in The Wall Street Journal pointed in the same direction earlier in the month. 28% of the 65 experts consulted expect a recession within 12 months, compared to 18% in January and 12% a year ago. Apparently, the recession is closer than expected.
Source: Ambito
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