Washington has revised its outlook for economic growth in the United States this year. In December, economic growth for 2005 was predicted to be 3.5%, but now they are expecting 3.4%. Washington's new forecast is also calling for an increase in inflation. In December, 2.0% was projected, but now they are expecting inflation to go up to 2.9%.
"The updated forecast remains largely the same as what we projected six months ago," stated the chairman of the president's Council of Economic Advisers, Harvey Rosen. "The economic expansion is continuing."
Interest rates are expected to go up. The new outlook shows rates on 10-year Treasury notes increasing from about 4% to about 5.2% in two years. This will be taken into consideration when budget deficit estimate is updated next month.
Chris is a staff writer for latest ebusiness news. 
No comments yet. Be the first to comment!