According to US Treasury Secretary Janet Yellen, next year, the US may face a recession. Janet Yellen expressed concerns about this fact, fearing that the risk of a recession would increase exponentially.
Officials of the US Finance Department suppose that in 2023, the national economy may slide into a recession. However, Janet Yellen is sure that the impending recession is not a necessary condition for lower inflation. “There are always risks of a recession. And there was a surge in hiring, put people back to work,” Janet Yellen said.
The US Treasury Secretary thinks that “the economy remains prone to shocks”, but they are not great. In general, the US Treasury Department supposes that the national economy is quite stable and has a strong banking system and business sector.
Research conducted by the Institute of International Finance unveiled that in 2023, the global economy will grow by 1.2%. This is quite a weak performance that could be compared with the figures recorded during the crisis of 2008-2009. Such a trend could be explained by various geopolitical factors, including the Ukrainian conflict. According to the main scenario, the standoff will last until 2024. In this light, the global economy may tumble to the levels of the previous financial crisis.
