Business economists lower growth forecasts due to virus

The Associated Press

NEW YORK (AP) — The nation’s business economists now expect slower economic growth this year due to the widespread delta variant of the coronavirus, while also saying the economy could improve more quickly next year as vaccinations become more accepted. In a survey being released Monday, the National Association for Business Economics found that its panel now expects full-year economic growth of 5.6%, down from a forecast for 6.7% growth in NABE’s previous survey in May. However, economists raised their forecast for 2022 economic growth to 3.5% from a previous outlook of 2.8%. Inflation should remain at elevated levels through the fourth quarter before moderating next year, the survey’s panelists predict.