I’m Mary Walden with economist MW welcoming you to the economic perspective. Today’s program asks if the global economy is slowing. Mike, although growth in the US economy has been very good recently, we do live in a global economy. This means economic conditions in other countries can impact our growth rate. I understand there is evidence of some issues in economies of some major countries. What are they, and are they severe?
- The economies of Germany and Japan recently contracted, and consumer spending in China slowed and bank lending fell
- One quarter doesn’t make for a trend, and there were some one-time factors in both Germany and Japan
- Still, the continuing trade war with China is impacting the world economy, and is causing concerns about global growth
- Meanwhile, the US economy continues to expand at a good rate: 3.5%
- Also, international trade is a much smaller % of the US economy than in other countries
- Yet, the condition of foreign economies is a factor to watch
And I’m Mary Walden for the Economic Perspective, an NC State Extension program from the Department of Agricultural and Resource Economics