Economists Worry About U.S. Debt Levels and Double-Dip Recession
August 24, 2020
Economists are concerned about growing debt levels in the U.S. and see a double-dip recession as a possibility, according to the National Association for Business Economics (NABE). In the semiannual survey, nearly two-thirds of the 235 economists asked said the economy had not yet come out of the recession that began in February, and 80% saw a one-in-four chance of a double-dip recession once the economy does recover.
The respondents largely approved of the Federal Reserve’s monetary response to the slowdown, the highest approval rating since 2007. Their assessment of Congress’s response was more divided, with 40% saying the stimulus provided has been insufficient, 37% saying it was adequate, and 11% saying it was excessive.
The economists also agreed that U.S. debt may be a problem, with 88% saying they were at least “somewhat concerned” about the fact that public debt is higher than any period since WWII.