Goolsbee: Growth to Be Around 2% for Next 12-24 Months

The video discusses the challenges in economic forecasting, highlighting the broken models that rely on consumer spending and housing investment for growth. It suggests a shift towards export-led and innovation-driven growth. Historical precedents show slow recovery post-crisis, and the Federal Reserve's cautious approach to rate increases is examined. The US economy needs to adapt to sustainable growth models amidst global uncertainties.

What is the expected growth rate for the next 24 months according to the video?

• 3% growth

• 2% growth

• 1% growth

• 5% growth

Which economic model is suggested to lead US recovery?

• Government stimulus packages

• Export-led and innovation-driven growth

• Residential housing investment

• Increased consumer spending

What is a common characteristic of economic recovery after financial crises?

• High inflation

• Immediate normalization

• Slow recovery

• Rapid growth

How does the Fed's reaction function affect its interest rate decisions?

• It results in a cautious approach with delayed rate changes

• It leads to immediate rate hikes

• It causes frequent rate cuts

• It focuses solely on inflation control

What global factor is mentioned as putting pressure on the dollar?

• Trade agreements

• Brexit uncertainties

• Rising oil prices

• Technological advancements