Fed: Unemployment Projections Up, GDP Projections Down





Federal Reserve logoEarlier today, the Federal Reserve released its projections for economic growth over the next couple of years.

The numbers weren't very pretty at all - many economists and reporters used the word "bleak" to describe the revised projections from the Fed, and I think that probably sums it up best.

Let's start with GDP growth:

2011

Current Projection - 1.6 to 1.7%
June Projection - 2.7 to 2.9%

2012

Current Projection - 2.5 to 2.9%
June Projection - 3.3 to 3.7%

2013

Current Projection - 3.0 to 3.5%
June Projection - 3.5 to 4.2%

2014

Current Projection - 3.0 to 3.9%
November Projection - n/a

Now, unemployment:

2011

Current Projection - 9.0 to 9.1%
June Projection - 8.6 to 8.9%

2012

Current Projection - 8.5 to 8.7%
June Projection - 7.8 to 8.2%

2013

Current Projection - 7.8 to 8.2%
June Projection - 7.0 to 7.5%

2014

Current Projection - 6.8 to 7.7%
June Projection - n/a

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Note: Annualized GDP growth (advance estimate) for Q3/2011 was 2.5%, while the most recent unemployment rate (September 2011) was 9.1%.

Source: Federal Reserve - Federal Reserve Economic Projections from Nov 1-2 FOMC Meeting




Filed under: The Economic Meltdown

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