Georgia’s post-COVID economic expansion is expected to slow but continue, with GDP increasing by 1.1% in 2024, according to economic forecasters at the University of Georgia Selig Center for Economic Growth. While smaller than the 3% growth rate Georgia saw in 2023, the state will continue to outpace the national GDP growth rate, which forecasters project to be .8% in 2024.
“Georgia is well positioned to weather an economic slowdown and our economy will outperform the U.S. economy,” Terry College of Business Dean Ben Ayers told the crowd gathered at Atlanta’s Georgia Aquarium for the kickoff of the 2024 Georgia Economic Outlook series. “The build-out of many large projects in the economic development pipeline and favorable demographics are the main reasons why Georgia will fare better than the nation.”
The Georgia Economic Outlook is hosted annually by the UGA Selig Center for Economic Growth, a public outreach unit housed in the Terry College of Business. For 41 years, Selig forecasters produced an economic forecast report for the state and its metropolitan statistical areas.
The probability that Georgia will slip into recession is 33%, Ayers said, compared to around 50% for the U.S. The number of jobs will rise by 0.7% in 2024, which is slower compared to the 2.3% gain estimated for Georgia in 2023 but higher than the national job growth rate of 0.3%.
“Threading the Needle”
In 2022, most economists predicted the Federal Reserve Bank’s efforts to cut COVID-era inflation by raising interest rates would trigger a recession by the end of 2023. But the Fed has been able to thread the needle, lowering inflation without stifling consumer spending.
Consumer spending and household balance sheets remained strong during 2023, fueling economic expansion in Georgia and the nation.
Consumers still have about $1.8 trillion of the $2.6 trillion in excess savings accumulated during the pandemic. This financial cushion means consumer spending…
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