Is The Economic Recovery Already Underway

Dated: 06/17/2020

Views: 69


Is the Economic Recovery Already Underway? | MyKCM

The Wall Street Journal just released their latest monthly Survey of Economists. In an article on the findings, they reported:

“The U.S. economy will be in recovery by the third quarter of this year, economists said in a survey that also concluded the labor market will fare better than previously expected following the effects of the coronavirus pandemic.”

Clearly, the latest jobs report from the U.S. Bureau of Labor Statistics confirmed the labor market is outperforming expectations, as it revealed that 2.5 million jobs were added. Directly before the release, experts forecasted that we would lose over 8 million jobs.

A second revelation indicating the economy is already about to turn around was also somewhat unexpected. More than 9 out of 10 economists surveyed believe the recovery has already begun this quarter or will begin in the third quarter. Here are the results of the survey question asking when the recovery will begin:Is the Economic Recovery Already Underway? | MyKCMThe survey also asked what type of recovery the economists expect.

More than 8 out of 10 believe it will be a form of a ‘V’ recovery:

  • A true ‘V’ with a sharp drop and a sharp rebound

  • A ‘Nike Swoosh’ with a sharp drop and a more gradual recovery, coined after the company’s logo

Some experts, possibly concerned about a second wave of COVID-19, call for a ‘W’ recovery – a double dip recession.

Others call for a ‘U’ with a prolonged bottom.

A very small percentage project the dreaded ‘L’ recovery, which is no recovery at all for the foreseeable future (think of the Great Recession).

Here’s the breakdown:Is the Economic Recovery Already Underway? | MyKCM

Bottom Line

Though we still have a long and difficult journey ahead, it appears the worst for both the economy and the unemployment situation may be in our rearview mirror.

Blog author image

Katrina Williams

I am a real estate broker serving all of Puget Sound. I believe honesty & transparency are crucial in real estate. I will be by your side through the transaction, and available to answer any of your q....

Latest Blog Posts

Are New Homes Going To Be Available To Buy This Year

In today’s economy, everyone seems to be searching for signs that a recovery is coming soon. Many experts agree that it may actually already be in motion or will be starting by the 3rd

Read More

Is The Economic Recovery Already Underway

The Wall Street Journal just released their latest monthly Survey of Economists. In an article on the findings, they reported: “The U.S. economy will be in recovery by

Read More

Is A Recession Here Yes Does That Mean A Housing Crash No Is A Recession Here Yes Does That Mean A H

Is a Recession Here? Yes. Does that Mean a Housing Crash? No.On Monday, June 8, 2020, the National Bureau of Economic Research (NBER) announced that the U.S. economy is officially in a.

Read More

Home Buying Myths

Two Big Myths in the Homebuying ProcessThe 2020 Millennial Home Buyer Report shows how this generation is not really any different from previous ones when it comes to homeownership:

Read More