Facing first ever economic downturn
According to the news, the American economy has increased for 23 quarters, nearly 6 years of uninterrupted growth. The coronavirus epidemic has ended that mark previous quarter, even though the virus did not disturb most of the United States business until the mid-March. But the worldwide shutdown mainly over charge any economic growth from January and February. As a result, many businesses halt and employees stayed home, while numerous layoffs proposals for jobless benefits to increase.
As per the survey done by the economists, they expect that the American economy decreased at a four percent on yearly rate, as compared to a 2.1 percent growth rate in the Q4 of the previous year. It would be registered as 1st quarterly reduction since the first three months of 2014, and the major decrement since the 1st quarter of 2009, when the economy reduced by a yearly 4.4 percent rate in the middle portion of the fiscal crisis.
If the American economy survived worse than anticipated between January and March, it could be the beat quarterly performance since the 4th quarter of 2008, when the economy contracts an annualized rate of 8.4 percent. The Commerce Department is all set to launch the 1st-quarter gross domestic product report.