The Majority of Manufacturers Predict that Economy Will Enter Recession in 2023
According to a poll carried out by National Association of Manufacturers (NAM), 62% of manufacturers believe the United States economy will enter a recession this year.
In this survey, 69% of manufacturers also expressed a positive view for their company’s economic prospects which is the lowest figure reported since the third quarter of 2020. These businesses called attention to their trouble attracting and finding workers, prolonged supply chain disruptions, and high raw material costs as reasons why they’re not so sanguine about their financial prospects.
The Institute for Supply Management revealed on January 4 that manufacturing fell for the second consecutive month in December and dropped to its weakest point since May 2020.
There’s clearly negative sentiment in the air about America’s economic prospects. It makes sense when one looks at the structure of the American economy which is marked by stringent regulations, easy money, and rising levels of taxation. These policy choices make it difficult for entrepreneurs and other productive individuals to conduct business activities.
Unless there is a substantial rollback of the regulatory state and the introduction of sound money, economic instability will be the norm across America. This kind of America will be marked by growing inequality and poverty – aka a Banana Republic-style economy.