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In the sentence “Forecasters obviously did not anticipate...

Text I


How good is the U.S. economy? It’s beating pre-pandemic predictions.


1 Americans might be reluctant to believe it, but on

paper, the U.S. economy is doing pretty well. So well,

in fact, that we’re performing better than forecasts

made even before the pandemic began.

2 The nation’s employers added another 199,000

jobs in November, the U.S. Bureau of Labor

Statistics reported on Friday. This means that overall

employment is now 2 million jobs higher than was

expected by now in forecasts made way back in

January 2020 by the nonpartisan Congressional

Budget Office.

3 The job market isn’t the only front on which we

have bested forecasts made before the pandemic.

The overall size of the economy, as measured by

gross domestic product, is larger than it was expected

to be around now. The International Monetary Fund

says that U.S. gross domestic product is higher today,

in inflation-adjusted terms, than it had expected at the

beginning of 2020. The IMF ran these calculations

for countries around the world, and found the United

States was an outlier in beating the organization’s

pre-covid forecasts.

4 So why did well-regarded professional forecasters

underestimate the strength of the economy? And how

is it that jobs and GDP are doing better than they

expected, even as inflation has been unmistakably

worse?

5 To some extent, all these things are related.

Forecasters obviously did not anticipate the pandemic.

They also did not anticipate the unprecedentedly

enormous government response to the coronavirus.

When the public health crisis hit and disemployed

millions of American workers, policymakers

implemented unusually generous fiscal and monetary

stimulus.

6 Such measures helped get people back to work

sooner, and avoided the long, painful effort back to

normal that had followed the Great Recession. Thus,

faster job growth. They also massively amplified

consumer demand, at a time when the productive

capacity of the economy (i.e., companies’ ability to

make and deliver the things their customers want)

couldn’t keep up. Employers faced all kinds of

shortages — of products, materials, workers — and

consumers anxious to buy stuff raised the prices of

whatever inventory companies actually had available.

Thus, faster price growth.

7 If you had asked me back in January 2020 how

Americans might feel about an economy with an “extra”

2 million jobs, unemployment less than 4 percent, and

inflation just over 3 percent, I probably would have

guessed the public would be pretty content. However

people are still furious about the extra price growth

they’ve already endured to date, and unimpressed by

all that extra job growth. Maybe it’s human nature for

people to view better jobs or pay as things they’ve

earned, while a painful price increase is something

inflicted upon them — even if both are, to some extent,

two sides of the same coin.


Available at: https://www.washingtonpost.com/opinions/

2023/12/08/jobs-report-economy-beats-pandemic-predictions/. Retrieved on: Dec. 12, 2023. Adapted.

In the sentence “Forecasters obviously did not anticipate the pandemic” (Text I, paragraph 5) the term anticipate could be replaced, with no change in meaning, by


A

precede


B

expect


C

need


D

hide


E

fight