Goldman Sees ‘Significant Deceleration’ for U.S. Growth in 2022

The transcript discusses economic forecasts by Goldman Sachs, highlighting a slower recovery in the service sector and a significant deceleration in growth as we approach 2022. The Federal Reserve's gradual policy changes, including tapering and potential rate hikes, are analyzed. Inflation is expected to be transitory, with a sharp deceleration anticipated. Long-term economic spending is spread over a decade, reducing its immediate impact. Key factors like office occupancy and fiscal support are examined, with a focus on their influence on growth and inflation trends.

What is the expected GDP growth rate for the second half of 2022 according to Goldman Sachs?

• 5% to 6%

• 3% to 4%

• 1.5% to 2%

• 2.5% to 3%

What is the Federal Reserve's approach to exiting the current policy stance?

• Gradual tapering

• Immediate rate hikes

• Complete withdrawal of support

• No change in policy

What is the expected timeline for the Federal Reserve to potentially hike rates?

• Early 2022

• Late 2023

• Early 2024

• Mid 2022

Which factor is considered temporary in the current inflationary pressures?

• Used car prices

• Housing costs

• Wage increases

• Energy prices

What is the main reason for the expected deceleration in growth according to the transcript?

• Withdrawal of fiscal stimulus

• Expansion of the service sector

• Increase in consumer spending

• Rise in global trade

How is the fiscal support expected to change from 2021 to 2022?

• Increase by 8 percentage points

• Decrease by 8 percentage points

• Double in size

• Remain the same

How is the long-term economic spending on Capitol Hill expected to impact GDP?

• Provide a 10% boost annually

• Cause a recession

• Lead to immediate economic growth

• Have a minimal impact due to spread over 10 years