Tags: Alan Blinder | GDP | economy | growth

Princeton University Economist Blinder: GDP Growth Unlikely to Reach 3 Percent for 2014

By    |   Wednesday, 23 April 2014 01:34 PM

While economists expect GDP growth to rebound from a weak first quarter, the recovery probably won't be strong enough to fuel 3 percent growth for the year as a whole, says Princeton University economist and former Federal Reserve Vice Chairman Alan Blinder.

Economists surveyed by Bloomberg produced a median forecast of 1.5 percent growth for the first quarter and 2.7 percent for the year as a whole.

As for Blinder, now a Princeton economist, "I certainly think there's going to be a rebound from the first quarter," he told Yahoo.

Editor’s Note: Retire 10 Years Earlier With These 4 Stocks

"But to make a 3 percent year . . . we've got to do a lot better than 3 percent in the remaining three quarters, and I'm just not quite that optimistic. I just don't see where the growth is going to come from. . . . We're still not out of the woods."

American consumers are "doing fine" but not well enough for a surge in growth, Blinder said. Retail sales rose 1.1 percent in March.

Fiscal policy should restrain the economy less than last year, but will still hurt, he said.

Some analysts grew enthusiastic about the economy after last month's news that GDP expanded 2.6 percent in the fourth quarter.

"The economy is shaking off the negative impacts from the weather,” Sam Bullard, a senior economist at Wells Fargo, told Bloomberg. "We’re beginning to see signs that growth is going to gain some traction and strengthen and accelerate as the year progresses."

Editor’s Note: Retire 10 Years Earlier With These 4 Stocks

Related Stories:




© 2021 Newsmax Finance. All rights reserved.


InvestingAnalysis
While economists expect GDP growth to rebound from a weak first quarter, the recovery probably won't be strong enough to fuel 3 percent growth for the year as a whole, says former Federal Reserve Vice Chairman Alan Blinder.
Alan Blinder, GDP, economy, growth
296
2014-34-23
Wednesday, 23 April 2014 01:34 PM
Newsmax Media, Inc.
 
Newsmax TV Live
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved