The US economy was earlier projected to return to pre Covid-19 levels by the fourth quarter of 2021.
New analysis indicates that the country’s economy may recover sooner than previously forecast.
Daniel Lacalle, chief economist at Tressis SV, tweeted about the projected recovery of the US economy.
The US GDP is expected to recover to pre-Covid-19 levels two quarters earlier of Q2 2021 than the previously projected Q4 2021, according to Morgan Stanley.
Lacalle added that the recovery will mainly be supported by debt-fuelled government spending with the private sector requiring more time to recover.
Meanwhile, Prof. Steve Hanke, economist at Johns Hopkins University, shared an article on how the stimulus package announced by the UK government is giving rise to a wave of fraudulent claims