As the pandemic wane….
Things begin come back…
President Biden is gonna try to keep it going as BIG as POSSIBLE….
Some of fastest economic growth in more than four decades occurred from January to March, behind only the initial 7.5 surge last year, when businesses first reopened afterpandemic-related shutdowns.
The quarter’s growth would be 6.4 percent at an annual rate, but annual rates can be misleading amid an unprecedented crisis, because they imply that a quarter’s trend will continue for an entire year. The Washington Post is focusing on quarterly rates until the economy recovers….
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To make up for lost ground, the economy needs a boost from the American consumer. Consumer spending makes up almost 70 percentof U.S. economic output. And the nation could be poised for a spending surge unlike any other.
Americans received a record amount of after-tax income in the first three months of the year as the bulk of the $600 checks for the December stimulus and $1,400 American Rescue Plan checks were distributed. The record would not have happened without more than $1.6 trillion in federal stimulus spending, with $0.6 trillion of that coming in the past quarter alone, according to the BEA….
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The combination of unprecedented federal aid and limited spending opportunities has caused Americans’ saving rates to more than doubleduring the pandemic. Consumers are sitting on what JPMorgan Chase chief executive Jamie Dimon estimates to be $2 trillion in extra savings, waiting for the economy to reopen….
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Economists expect inflation to rise this year as vaccines become more widespread and people unleash pent-up spending habits. But there’s much debate about how high inflation will climb, and when the increase will trigger a response from the Federal Reserve or the White House.