Interesting info I read below and depending on your income status and demographic . Like most here I am not affected but it does raise some concerns over the long haul as to what may happen.
- ANALYSIS: Despite strong national figures—3.8% GDP growth and 4.3% unemployment—large parts of the U.S. are effectively in recession, according to Moody’s Analytics. Chief economist Mark Zandi exclusively told Fortune that 22 states are contracting and many lower- and middle-income households are “hanging on by their fingertips,” struggling with debt and slowing wage growth despite steady employment. Private data during the federal shutdown shows weakening consumer confidence, particularly among those earning under $35,000. Zandi warned that if economic softness spreads from smaller, manufacturing-heavy states to giants like California or New York, the national economy could tip into recession.
Everything should feel fine in the economy. Gross domestic product was up a healthy
3.8% in the past quarter, and unemployment has stayed at a steady 4.3%. So why does it seem so tough?
The short answer is: Depending on where you live and who you are, the environment around you is recessionary.
According to analysis from Moody’s Analytics, 22 U.S. states are seeing their economies contract. Meanwhile, just 16 are seeing economic growth, while 13 are classified as “treading water.” That said, the states contributing the most to U.S. GDP—California, Texas, and New York—are all in the clear, pushing the overall growth of the country into the green as a result.
But for those who don’t live in the wealthier states (and indeed, aren’t on the higher end of the income ladder within those regions), things “don’t feel very good,” according to Moody’s chief economist, Mark Zandi.
