Americans continue to show their spending prowess this holiday season, with retail sales seeing a 3% increase from the previous year. However, this spending surge is only just managing to outpace inflation. Despite the slight boost in economic activity, many Americans are still feeling uneasy about the overall state of the economy.
Experts, such as Douglas Holtzegan, President of American Action Forum and former director of the Congressional Budget Office, have examined the current situation. As predicted by some economists, inflation was expected to be a formidable foe and the Federal Reserve's aggressive response was thought to potentially trigger a recession. However, to the surprise of many, these fears have not materialized and the likelihood of a recession seems remote for the time being.
