Eventual Economic Recession In America, But Good News for India

Joe Biden denies a US economic recession. But experts accused the Biden ministry of changing the definition of recession. There is almost zero chance of recession in India.

In America, there is once more a feeling of looming doom regarding the economy. Additionally, it is alleged that President Joe Biden is attempting to alter the definition of recession itself before the GDP data are released. 

Biden worries that the GDP numbers could be a sign of a recession. In the meantime, Biden stated on Monday that he did not anticipate an economic downturn in the US.

Also Read: With Q3 GDP growth recorded at 0.4%, India is out of recession 

That is also true if this week’s GDP data shows that the economy shrank for the 2nd consecutive quarter. 

Meanwhile, a recent survey by Bloomberg found that India is least likely to see a slowdown in the global economy, which is good news for the Indian economy.

“I believe that we are not heading towards an economic recession,” Biden stated. Biden expressed optimism that the rate of growth would sustain while noting job data. 

The notion of an economic slowdown has been brushed aside by many US authorities, who assert that there is very little chance that the world’s biggest economy will contract. 

According to recent figures, the second quarter’s GDP may have also declined. GDP fell by 1.6 percent earlier in the 1st quarter.

Good News for India, The Least Risk In Asia

India is the least risky country for economic recession. However, a lot of experts also believe that there can be a small improvement in the US economy. 

The US economy shrank more in the first quarter than it did for the Corona era in 2020. American inflation is a problem, and the central bank is hiking interest rates constantly to combat it so that demands can be decreased. 

In the meantime, numerous US academics charged the Biden administration with seeking to redefine the term “economic recession” during a CNN debate.

According to a recent Bloomberg survey, the likelihood of an economic slowdown is highest in numerous Asian nations, including Sri Lanka, South Korea, Japan, China, Taiwan, Pakistan, and Malaysia. India is ranked last on this list at the same time. 

The likelihood of a recession, according to the report, is 85% in Sri Lanka, 33% in New Zealand, 25% in South Korea, 25% in Japan, 20% in China, 20% in Taiwan, and 20% in Pakistan.

In India, there might be some global effects but there is no chance of any recession. India is developing rapidly in most of the sectors.