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How the coronavirus could spark a severe slowdown or recession in America

By Matt Egan, CNN Business

 

Updated 12:20 PM ET, Wed February 26, 2020

New York (CNN Business)The longest economic expansion in American history has survived an unprecedented trade war, a catastrophic tsunami in Japan and a severe crash in oil prices. The fast-moving coronavirus poses yet another grave test.

The emerging health crisis threatens to dim the brightest part of the United States, if not the world, economy: American wallets.
Resilient spending by consumers is the only thing that kept the United States out of recession during the height of the US-China trade war last year. Manufacturing collapsed. Business spending shrank. Yet Americans kept on shopping.

If the American consumer loses faith, and the coronavirus will be a real test of faith, then a recession is going to happen."

MARK ZANDI, CHIEF ECONOMIST AT MOODY'S ANALYTICS

The risk is that a health scare in the United States changes that formula, dealing another blow to the fragile world economy and threatening the expansion at home.
 
"The American consumer is the firewall between an economy that's growing and one that's not," Mark Zandi, chief economist at Moody's Analytics, told CNN Business. "If the American consumer loses faith, and the coronavirus will be a real test of faith, then a recession is going to happen."
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Trump gadi low unemployment figures ni battle seyadaniki..inko agenda...

the market fall is nothing related to recession..

its all about outlook..which looks bleak for another qtr or 2...

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23 minutes ago, Spartan said:

Trump gadi low unemployment figures ni battle seyadaniki..inko agenda...

the market fall is nothing related to recession..

its all about outlook..which looks bleak for another qtr or 2...

Employment rate bagane undi bro. Next 6 months virus situation itlane unte year end ki recession pakka emo

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2 minutes ago, sureshkonda said:

Employment rate bagane undi bro. Next 6 months virus situation itlane unte year end ki recession pakka emo

Chances are there

Becuase everything depends on supply and demand

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