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Transcript/ScriptBiden State of the Union Economy
HEADLINE: Biden Exudes Optimism for US Economy; Rest of World Expected to Face Longer Recession
TEASER: Shallow recession for US, deeper slowdown for rest of world
PUBLISHED AT: 2/9/23, 10 pm
BYLINE: Keith Kocinski
CONTRIBUTOR: Rendy Wicaksana
DATELINE: New York, NY
VIDEOGRAPHER: Keith Kocinski, Rendy Wicaksana
PRODUCER: Keith Kocinski, Rendy Wicaksana
EDITORS: Igor Tsikhanenka; Kenochs
VIDEO SOURCES:
VOA PLATFORMS: WEB__TV_X__RADIO_X__
TRT: 2:31
VID APPROVED BY: Holly Franko
TYPE: TV
UPDATE:
((ANCHOR INTRO))
[[U.S. President Joe Biden celebrated his economic record this week during the annual State of the Union address. While U.S. unemployment statistics are on the upswing, economists say there are clear economic challenges. Keith Kocinski reports.]]
((Narrator))
U.S. President Joe Biden exuded a sense of optimism about the economy during his State of the Union address.
((Radio: US President Joe Biden))
((Joe Biden, US President))
“Here at home inflation is coming down. Here at home gas prices are down a dollar fifty from their peak.”
((Narrator))
But experts on the economy say there are economic challenges as he enters his third year in office, and continuing concern about the U.S. economy.
((Radio: Dan Geltrude is a professor of Accounting and Finance at the Montclair State University in New Jersey))
((Dan Geltrude, Montclair State University, NJ))
“Some would argue we are already in a recession because really our production has declined.”
((NARRATION))
U.S. unemployment is at 3.4 percent, the lowest since 1969, GDP increased by about 3 percent during the third and fourth quarter of 2022, and U.S. inflation cooled during the last half of 2022.
But taken as a whole, 2022 recorded the highest average inflation in over 40 years, and there are still some lingering supply chain issues.
According to a recent International Monetary Fund report, the U.S. economy is expected to slow down but narrowly avoid a recession.
Other economists say we are in what one is calling a shallow, short-lived recession.
((Radio: Nicholas S. Economides is a professor of Economics at the New York University))
((Nicholas S. Economides, New York University))
“It’s not something that we should worry about too much but it’s something that might last a few months, maybe six months.”
((NARRATION))
Another issue is the long-term economic effects of the war in Ukraine.
While the U.S. has seen limited effects, Europe is struggling under the effects of the war that is entering its second year.
((Radio: Nicholas S. Economides again))
((Nicholas S. Economides, New York University))
“The world economy is in a significantly worse shape than the United States.”
((NARRATION))
And that means there is the potential for a longer and deeper recession in Europe and Asia.
As world leaders prepare for economic turbulence, the Biden administration is now pushing for more American manufacturing, with the hope of bringing foreign companies to the United States. Experts say that worries some EU leaders.
((Radio: Again, Nicholas S. Economides ))
((Nicholas S. Economides, New York University))
“They are very worried, to the extent of, you know, making it a major issue of discussion.”
((NARRATION))
As the U.S. offers new incentives for domestic manufacturing, it also runs into a host of challenges.
((Radio: Dan Geltrude again))
((Dan Geltrude, Montclair State University, NJ))
“It’s very difficult to bring manufacturing back to the United States. Why? Environmental issues, regulatory issues and tax issues.”
((NARRATION))
U.S. lawmakers are also amid negotiations on raising the country’s debt ceiling. How those negotiations shake out will have a definite impact on the U.S. economy in the coming year.
((Keith Kocinski for VOA News, New York.))
NewsML Media TopicsArts, Culture, Entertainment and Media
NetworkVOA
Location (dateline)
New York, NY
Embargo DateFebruary 9, 2023 22:51 EST
Byline
((Keith Kocinski for VOA News, New York.))
Brand / Language ServiceVoice of America - English
