The economy faced significant recessionary concerns heading into 2023. However, the unexpected resilience of U.S. consumers, a strong labor market, and the continued impact of COVID-era fiscal and monetary measures led to sustained, and at times robust, growth.
However, 2024 is anticipated to experience challenges, as the economy continues to grapple with high interest rates and a weakening consumer position. While 2023 saw consumer spending bolstered by rapid debt accumulation and the draw down of excess reserves, 2024 is anticipated to be marked by a slackening labor market and continued weakening in consumer balance sheets, signaling softer economic growth.
In Prevedere’s 2024 State of the U.S. Economy, Natalie Gallagher, Principal Economist, analyzes shifts in consumer dynamics, the labor market, and inflation expectations. She also provides insight into how these indicators factor into the state of the economy and what businesses can expect this year.
Surprising Resilience in 2023
Consumer Dynamics: Strain vs. Nuance
Labor Market’s Pivotal Role
Inflation Outlook: Disinflation and Risks
Actionable insights for business leaders
Understand the balance crucial for sustained growth
About Prevedere, Inc. Prevedere is the world’s leading provider of predictive analytics technology and solutions based on econometric modeling, enabling intelligent enterprises to understand and quantify the impact of external factors as part of their strategic planning and forecasting. Our global data repository and patented AI platform enable financial executives and operational planners to identify market drivers, quantify the future impact of economic volatility, generate performance forecasts, and optimize plans based on market foresight.
Prevedere’s automated AI model monitoring provides an early warning system when unplanned market shifts and anomalies are predicted, enabling planners to future proof business performance. Many of the world’s leading consumer packaged goods, retail, logistics, and manufacturing companies leverage Prevedere to generate economic intelligence, spot market opportunities, mitigate risks, and deliver exclusive competitive advantage.