The damaging effects of the pandemic are increasing with each passing day. The reduction in trade and business has badly affected the US economy.
According to economists, the economic condition of the US will get worse considering the current circumstances. This economic downfall will stay for almost another year. The loss is expanding every day with no apparent signs of recovery.
The members of the National Association of Business Economics have anticipated that growth of gross domestic product will not reach a higher level. It is expected to get worse and the chances of attaining the pre-pandemic condition are quite rare.
According to the experts, the job sector is also affected badly and is leading to an increase in the unemployment rate. These findings were presented based on an economic policy survey that was conducted by the National Association of Business Economics.
In response to the worsening condition of the pandemic, Washington has come forward with a shielded strategy to control the situation. There are mixed reviews regarding the introduced package, by the economists. With the extreme downfall expectations, around 40% of economists think that the actions and strategies made by the government are not enough to counter the economic slowdown.
Congress did not show its favor towards the stimulus package introduced by the current administration. However, according to economists, the relief policies like check provision to small businesses and unemployment insurance should be increased according to the current circumstances.
The stimulus package that was initially introduced was around $2 trillion and the following package might be $1 trillion. Further expansion of funds is also expected.
The economic downfall caused due to the pandemic is happening in between the election period. People and the authorities are currently judging the response of the government against the crisis. According to some experts, the response of President Trump and his policies is not enough. Some agreed on the fact that the ex-vice president Joe Biden would have handled the situation in a better way.
According to economists, the first priority of the government should be dealing with the crisis through funding and stimulus packages. The next step should be the recovery policies for the economic structure.