Question

Given last month’s March employment report (released Friday April 3), what is your expectation for GDP in the 2nd quarter of 2020 and inflation

Answer 1

Basing on the report and the current situation it is clear that most of the jobs will be wiped out by the end of next two quarter. The economy is already under recession and the growth rate is going down. Inflation rate of economy will also come down now as the economy is not in good condition.

But compared to present situation GDP and inflation will go up by the end of second quarter as there is an expectation from all the source and industries that the lock down and the pandemic corona situation will come to control by the end of May.

So again the economy will become stable but it will take time so in the 1st quarter it won't be that much good growth in GDP but in the second quarter we can see growth in GDP as the business and industries will again run. Some jobs will be created which may be less compared to the jobs lost. So second quarter will be more promising in every way compared to first quarter.