The economy is finally booming, but millions of Americans can't feel it -- yet
May 3, 2021. Summarized by summa-bot.
Compression ratio: 19.2%. 1 min read.
HUNTINGTON BEACH, CA - APRIL 06: People eat outside along Main St. in Huntington Beach, CA on Tuesday, April 6, 2021. "nState health officials announced schools and businesses in California should be able to fully reopen at their pre-pandemic capacities starting June 15. (Photo by Paul Bersebach/Orange County Register via Getty Images)
The American economy is roaring back to life as the once-in-a-century pandemic winds down.
New York (CNN Business)The American economy is roaring back to life as the once-in-a-century pandemic winds down.
Hiring is surging as broad swaths of the economy -- including even New York City, the epicenter of the pandemic -- prepare to fully reopen for business.
"I've never seen an economy that feels as good as this one today," Mark Zandi, chief economist at Moody's Analytics, told CNN Business.
All of this has fed the notion of a K-shaped recovery: one where the large segments of the population are left behind as the rest of the economy zooms ahead.
"The reopening of the economy will really benefit those who have been hit the hardest: the lower leg of the K-shaped economy," said Kristina Hooper, chief global market strategist at Invesco.
"We have never seen as fast a recovery as we are seeing right now," said David Kelly, chief global strategist at JPMorgan Funds.
And the families plan is aimed at allowing more Americans to join the workforce by helping low-income families with childcare and eldercare.
"It's about getting the economy moving faster in the long run," Zandi.
There are also legitimate concerns that all of the stimulus from the Federal Reserve and Congress, on top of the reopening of the economy, could fuel runaway inflation.