In case you missed it, the U.S. economy is picking up speed. That's the view of a panel of business economists, whose latest growth forecast calls for a 3.1 percent advance in U.S. gross domestic product in 2015—up from a 2.2 percent expansion this year.
And the improved job market will continue to push the jobless rate down to 5.4 percent by the end of next year, according to the latest forecast from the National Association for Business Economics (NABE). The groups' upbeat outlook was bolstered Friday by the government's latest employment data, which showed a surge in employment in November, when nonfarm payrolls jumped by 321,000. The report also boosted the government's previous estimates for job gains in September and October. Those numbers were reported after the panel of business economists—who advise large U.S. banks and corporations—were surveyed in mid-November. Despite the pickup in job growth and overall output, the panel expects inflation will remain tame next year, in part because of the recent slide in oil prices. While the pace of the U.S. economy's growth is expected to pick up, the economists are less upbeat about the global economy. Global growth is seen rising 3.4 percent next year, with China slowing to a 7 percent annual pace, Europe expanding by 1.2 percent and Japan eking out 1 percent gain in GDP.
- Job Creation Surged More Than Expected in November
- Hold On: Jobs Report Wasn't So Great After All
- Lower Gas Prices and Boon and Bane for Auto Makers
-- John Schoen, CNBC