2021 Economic Outlook: Vaccines, Stimulus, and Recovery
by Craig Dismuke, Dudley Carter
2021 Economic Outlook: Vaccines, Stimulus and Recovery
While uncertainty is commonplace in forecasting economic growth and interest rates, doing so in 2021 is uniquely challenging. The economy appears highly likely to continue its recovery from the COVID-19 pandemic and move into a period of expansion, although even this outlook could be derailed by unexpected developments with the virus. The policy implications of the 2020 elections bring about new uncertainties. The evenly split Senate adds yet another layer of uncertainty about legislative scope while the prospects of significant stimulus bring into question an entirely different variable. One certainty for 2021, the economy is positioned to grow substantially if the damage from the virus can be limited.