White House Lowers Economic Growth Projections

By: Associated Press
By: Associated Press

WASHINGTON (AP) - The White House is lowering its forecast for
economic growth this year and next. It says unemployment is likely
to rise as housing and financial messes and high energy prices take
their toll.
The gross domestic product is estimated to grow by only 1.6
percent this year. That's down from a 2.7 percent growth projection
made in February.
The new projection is for 2.2 percent GDP growth next year, down
from the previous forecast of 3 percent.
The jobless rate is projected to move up to 5.3 percent this
year and to 5.6 percent in 2009. The old forecast called for the
jobless rate to climb to 4.9 percent this year and next.
And consumer prices are now expected to rise by 3.8 percent this
year, up from the administration's old forecast for a 2.7-percent
rise. Prices should calm down a bit next year, rising by 2.3
percent. Still, that's also higher than the old forecast of a 2.1
percent rise.
The new forecasts were contained in the budget office's updated
look at the nation's balance sheets, which projected a record 482
billion-dollar budget deficit.


Join the Conversation!

To comment, the following rules must be followed:

  • No Obscenity, Profanity, Vulgarity, Racism or Violent Descriptions
  • No Negative Community Comparisons
  • No Fighting, Name-calling, Trolling or Personal Attacks
  • Multiple Accounts are Not Allowed
  • Stay on Story Topic

Comments may be monitored for inappropriate content, but the station is under no legal obligation to do so.
If you believe a comment violates the above rules, please use the Flagging Tool to alert a Moderator.
Flagging does not guarantee removal.

Multiple violations may result in account suspension.
Decisions to suspend or unsuspend accounts are made by Station Moderators.
Questions may be sent to comments@kbtx.com. Please provide detailed information.

powered by Disqus
KBTX-TV Channel 3 4141 E. 29th Street Bryan, TX 77802 Phone: (979) 846-7777 Fax: (979) 846-1490 News Fax: (979) 846-1888
Gray Television, Inc. - Copyright © 2002-2014 - Designed by Gray Digital Media - Powered by Clickability 26003139 - kbtx.com/a?a=26003139