At present, the United States is at the crisis as the overall growth rate has decreased by 2.6% and the drastic fall was witnessed during the months of October, November and December 2018. The growth rate has plummeted way higher than what was expected. Analysts had predicted a decrease in the growth rate to around 1.8 to 2.0%.
In the third quarter, the growth rate has been noted to decrease by 3.4% and that had happened due to the low purchase rate. Last year the US economy had seen a boost after a big tax cut down and high spending of the government. While talking to news reporters Ian Shepherdson said that the country had performed well during the fourth quarter. He also made press people aware of the fact that Trump administration has ceased to impose a heavy tax and the environment is favorable for professionals.
Mr. Shepherdson also said that the growth for 2019 is expected around 2.0 to 2.5%. While addressing a press conference Andrew Walker told the reporters that though the present year was slow for the US at the end it is expected to do well. Mr. Walker also showed his concern for the future and warned the nation that it can witness a wider plunge in the economy as the number of elderly people are increasing in the nation.
At present, the US economy has got a set back as the consumers are spending fewer amounts on goods and services. According to one report, the demand for new automobiles in the US has dropped by 1% and the retail sales have also faced a downfall of 1.2%. Few of the analysts are also speculating that due to the present downfall in the business world, the market will fall by 2% during the first quarter of the present year. Economists further showed their concerns over oil slackening which will decrease the investment in the mining industry.