'As a reference, this is approximately the size of Switzerland's entire economy,' IMF managing director Kristalina Georgieva explained.
Explaining some of the factors leading to the global slowdown, Georgieva dwelt heavily on the impact on trade tensions and tariffs, specifically pointing to the international impact of Trump's trade war with China. The international financial expert displayed a graphic, showing the financial losses caused by the U.S.-China trade tensions in 2018 and 2019, as well as the project losses moving forward into 2020."The results are clear. Everyone loses in a trade war," she said.
The prediction from the head of the IMF came after the National Association for Business Economics released thethat showed that economic experts believe America's GDP growth will drop below 2 percent in 2020."The consensus forecast calls for real GDP growth to slow from 2.9 percent in 2018 to 2.3 percent in 2019, and then to 1.8 percent in 2020," Constance Hunter, NABE's president, said in a press statement.
The majority of the economists surveyed for the study also pointed to trade policy as the biggest risk factor leading to economic decline. In total, 53 percent pointed to trade tensions as the key issue behind predicted slower GDP growth. President Donald Trump and China's President Xi Jinping meet business leaders at the Great Hall of the People on November 9, 2017 in Beijing, ChinaTrump and his supporters have repeatedly touted his administration's economic success as a key reason to back his presidency. The president has exaggerated, however, arguing that he has created the"greatest" economy in the history of the country.
the"greatest," while also pointing to warning signs of economic slowdown. Many also see the sustained GDP growth as in line with the economic recovery that began under former President Barack Obama, following the 2008 economic crisis his administration inherited., which now stands at just 3.5 percent. . At the same time, Trump has overseen a massive increase in the national deficit, which he promised to eliminate when he was campaigning for the presidency.
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