Economists Predict 2023 Recession Amid Mass Inflation

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The economy hasn’t been on the right track for quite some time. Since May 2021, inflation has been a defining factor of the US economy.

It’s caused prices in all areas of American society to go up. Just recently, the United States Postal Service announced that it’s going to be raising prices as well. Rideshare and delivery companies have likewise increased their costs.

Last month, Americans were faced with the bad news of higher interest rates.

The Federal Reserve stated the hike in interest rates was happening due to inflation; likewise, the Federal Reserve remarked that more interest rate increases could happen if inflation demands it.

Now, economists are warning that a recession may be on the horizon for the United States next year.

The possibility of a recession in 2023

According to Deutsche Bank economists, inflation and skyrocketing prices have reached a point where the nation is heading towards a recession.

Higher interest rates play a role in this as well. Given where the US economy currently stands, economists are warning that employers are going to try cutting back on spending. Naturally, American workers will bear the brunt of this.