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United States Economy: GDP Declines 0.9% in Q2 2022 & 1.6% in Q1 2022

29th July 2022 | Hong Kong

The United States economy (GDP) has declined by 0.9% in Q2 2022, following a 1.6% decline in Q1 2022.  A day prior to the GDP data release, Federal Reserve Chairman Jerome Powell: “I do not think the U.S. is currently in a recession and the reason is there are too many areas of the economy that are performing too well … … This is a very strong labor market … it doesn’t make sense that the economy would be in a recession with this kind of thing happening.”  The United States economy is the world’s largest with an estimated $22.9 trillion GDP in 2021.  GDP ~ Gross Domestic Product)

“ United States Economy: GDP Declines 0.9% in Q2 2022 & 1.6% in Q1 2022 “

 


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United States Whitehouse on Recession:

New York City, United States

What is a recession? While some maintain that two consecutive quarters of falling real GDP constitute a recession, that is neither the official definition nor the way economists evaluate the state of the business cycle. Instead, both official determinations of recessions and economists’ assessment of economic activity are based on a holistic look at the data—including the labor market, consumer and business spending, industrial production, and incomes. Based on these data, it is unlikely that the decline in GDP in the first quarter of this year—even if followed by another GDP decline in the second quarter—indicates a recession.




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