The growth expectations for 2021 are enormous. The Bank of America expects an increase of six percent this year, Goldman Sachs even seven percent. By the summer at the latest, analysts largely agree, the US economy will be back to the size it was before the corona crash. “If I had to bet, I would say it will be in April or May,” said Gregory Daco, Chief US Economist at Oxford Economics.
There are many reasons for the rapid recovery. There has not been a real lockdown in the USA for months at least across the board. This drove up the number of infections and deaths, but also stabilized the economy to some extent. The fact that the world’s largest economy got off to such a good start to the year is mainly due to the improving health situation and the Corona aid package that Congress passed in December, according to Daco. Part of the measures also included direct payments to a large proportion of American households, which after a year of economic uncertainty largely flowed into consumption – thus significantly boosting domestic demand in a difficult time.
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