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U.S. recession unlikely soon but federal tax reform failure could be a trigger, chamber speaker says

11/15/2017
Akron Beacon Journal

There’s little likelihood that the U.S. economy, years into a slow expansion, will go into a recession anytime soon, the chief economist for the U.S. Chamber of Commerce told a Cuyahoga Falls audience Wednesday morning. And there is a high likelihood that Congress will pass tax reform legislation this year, economist J.D. Foster said in a speech at the Greater Akron Chamber’s annual economic outlook program. He addressed about 170 people at the breakfast event in the Sheraton Suites hotel. “We will have another recession someday. Nothing is on the horizon,” Foster said.
 
Foster joined the U.S. chamber in 2013. His background includes being a senior fellow at the nonprofit, conservative think tank Heritage Foundation and before that associate director for economic policy at the Office of Management and Budget in the White House. He has also worked at the Tax Foundation and for Republican legislators. Foster has a bachelor’s degree in economics and a bachelor’s degree in mathematics, a master’s degree in economics and a Ph.D. in economics.
 
The U.S. economy looks like it will grow to a point in 2018 that it likely should have reached five years ago following the end of the Great Recession, Foster said.  As companies continue to hire, there will be increased pressure on raising wages, leading to what Foster called the economy’s “tough love” stage that will include business failures.  “It’s a sign that our economy is getting really strong,” Foster said.  When the U.S. economy is hitting on all cylinders, it will take a strong shock to knock it off course, he said.  Click here to read more.
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