Forecasters See Upside Risks to Their Economic Outlooks at Highest in More Than Two Years

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various aspects that can cause the economy to do better that anticipated. One of the aspects is consumer surprise which is the consumer spending. In the United States, the economy is driven by the manner in which the consumers spend. Consequently, the consumers might end up doing better thus raising the economy. There various suggestions which indicate that consumer surprise which includes an increase of salary though in a slower pace, home price recovery in most of the cities and soaring of the stock market.

The other aspect that can boost the economy is the business investment revival.  For the last three consecutive quarters, there has been a slump in business investment in the United States. This is a result of the current political climate as well as the plunge in commodity prices which caused the United States oil producers to pull back the oil investments that were capital intensive. This as a result can boost the economy of the country.

          I would recommend policy changes to be implemented. The policy changes, in this case, refer to changes that could have a positive impact on the economy. The policy change is in respect to the chief economist of Amherst Pierpont Securities who suggests that if policy changes are done in the right way, they could boost growth significantly. Further, the policy changes that could be implemented to boost growth include tax cuts for businesses as well as consumers, business-friendly regulatory changes and major spending on the infrastructure of the United States. If the top management team of the company implements the highlighted policy changes, they could boost the economy.

References

Zumbrun, J. (2017, January 12). Forecasters See Upside Risks to Their Economic Outlooks at Highest in More Than Two Years. Retrieved from Economy/U.S Economy: https://www.wsj.com/articles/forecasters-see-upside-risks-to-their-economic-outlooks-at-highest-in-more-than-two-years-1484233201#