Deloitte Q3, 2024 US Economic Projections

Sometimes its helpful to keep up with the projections about the market because it helps in making business decisions. Large companies rely on these and small businesses can rely on these as well. Understanding the market can help in determining where best to place your company's limited resources to ride adjustements in the market. There are no perfect projections as we have seen after Covid but still you can get a pretty good picture by reading these reports. Yes Its a few months old but definately worth reviewing for future projections.

"The Q3 2024 forecast indicates how robust consumer spending, high business investment, and lower interest rates have kept optimism about the US economy intact. However, risks like geopolitical tensions and persistently high inflation remain." (Kalish & Gibbard, 2024, para 1).

A few key points:

Source Deloitte

-Increase in manufacturing construction. This means investors and executives have faith in the U.S. as a manufacturing destination.

 
- US economy to grow by 2.7%. That is much higher than most advanced economies putting the U.S. between an emerging and a mature economy. Compared to other nations that is a good place. There are a few ideas floating in the intellectual world on methods of speeding innovation to enhance innovation/economic development and quality of life. I think that can come through economic clusters.

 
-Increased productivity. I'm going to add one might see this as a marker for possible human capital development when matched with higher education adjustments that seek to develop the whole person as well as align to the needs of the market to maximize.

 
-Geopolitical issues. No point in going down that rabbit hole of chaos. Improving international business relationships can help and there are lots of factors associated. Opinions are opinions but there still is some science in it all.

-Consumer spending strong. Much of our economy is based on consumer spending. The report indicates that durables are a good sign for consumers spending. As a thought, be careful about debt as you buy a bunch of stuff you may not need and don't have a lot of future value. I do this all the time. However, the other side of economic growth is investment and retention of that money within the U.S. Therefore, consider not buying stuff you don't need and in turn investing it as a contribution to economic development. Also consider your choices in purchasing that shortens the supply chain (i.e. buy local/regional) and keeps upward pressure on wages, decreases polution and improves tax revenue. (This was also part of an idea in a model of development to have an export arm/association/organiaation for local businesses and manufactuers to export to the global market in a way that increases local revenue potentially exponentially. Something like that could work for businesses within places like Delta County that can raise revenue be exporting more locally manufactured products.)

-Business investment to increase. Seems like this is a little related to manufacturing investments.

Two Scenarios: I like how they use their percentages. I sort of do this in my own thinking when I weigh and balance different possible outcomes and avenues. They are related to positive structural changes to the labor market and productivity as well as geopolitical issues. (Just as a side note the adaptations of structural market was expected in 2020 based on an analysis on how Covid would push the digital capacity upward. It actually happened and the economy sped up that was in a downward trajectory based on what would appear like the speed of transactions that we have seen in prior platform shifts in history. Theoretically anyway. )

Overall....I guess its in the positive arena.

Kalish, I and Gibbard, R. (Sept 20, 2024)
United States Economic Forecast. Deloitte. https://www2.deloitte.com/us/en/insights/economy/us-economic-forecast/united-states-outlook-analysis.html