What should be done to prop up a weakening economy?
More government stimulus? Continue the expiring tax cuts?
How do we get consumers and businesses to start driving the economy again?
The Commerce Department on Friday cut its estimate of second-quarter growth in the U.S., Associated Press reports.
The economy expanded at a 1.6 percent annual rate — down significantly from an earlier estimate of 2.4 percent.
What’s more, the new number represents a sharp drop in the April-to-June period from the 3.7 percent growth of the first quarter.
Weak growth like this hurts the prospects of reducing unemployment.
Economists look for growth of about 3 percent to keep the unemployment rate from increasing. In metro Atlanta, the unemployment rate is 10.2 percent and in Georgia it’s 9.9 percent. Nationally, unemployment stands at 9.5 percent.
Do you think we’re headed for a double-dip recession? Or will we just muddle along with weak growth for awhile?
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