by Elias Ferenczy
Post Date:
February 27, 2023

U.S. won’t enter recession in March, economists say

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A potential buyer examines a 2023 Cooper S sedan at a dealership Friday, Feb. 17, 2023, in Highlands Ranch, Colo. Over the past year, the Fed has raised its key short-term rate eight times, causing many kinds of consumer and business loans, including auto loans, to become more expensive. (AP Photo/David Zalubowski)

U.S. won’t enter recession in March, economists say

A majority of U.S. economists say the next recession is still coming, just later than they first expected, the National Association for Business Economics reported Monday. One-third of the 48 economists who responded to the survey expect a recession to begin anywhere from April to June. One-fifth estimate a recession to start between July and September. Fifty-eight percent of respondents predict a recession sometime in 2023, but a January hike in retail and restaurant sales suggests many consumers feel financially prosperous enough to spend.

What is a recession? It depends on who you ask. One rule of thumb is that two consecutive quarters of a shrinking gross domestic product means recession. By that measure, the U.S. had a small recession last year. The National Bureau of Economic Research defines a recession as “a significant decline in economic activity that is spread across the economy and that lasts more than a few months.” The U.S. recession in 2008 was the worst economic downturn since the Great Depression.

Dig deeper: Read Jerry Bowyer’s column in WORLD Opinions about PayPal founder Peter Thiel’s speech on classical liberalism and Christian apocalypticism.