What’s Behind The Slow Growth In American Economy?

0
263

This post may contain affiliate links. We may earn money or products from the highlighted keywords or companies mentioned in this post.

The United States seems to still be struggling to come out of the recession from 2008, when the housing market and other major indicators of the national economy collapsed. Up until now, and according to President Trump's campaign intentions, the growth rate is less than 2.4% for the first trimester of 2018. It is increasingly clear how this has become an alarming situation that has worried many experts, mainly because these numbers had not been seen since the 1930's. As of right now, the country is facing one of the slowest growth rates in over 70 years.

One of the main factors that plays an important role in strengthening the economy is the ability a nation or territory has to expand its group of workers. Many experts have noted how the decrease in investment in city infrastructure has reduced the opportunities for average Americans to access suitable job opportunities; the less access they have to acquiring a job, the less the GDP grows. Basic needs like health services and the housing market have seen dramatic cuts ever since new policies have been put in motion by the US government. This creates a notorious gap between city residents, which in itself lessens the stability many Americans are desperately needing nowadays. Added to this, metropolitan areas across the United States are becoming basically inhabitable – higher rent prices and a housing market that allows for a very privileged few to be able to afford buying a home make for a hostile environment where less and less people can manage to live. Unfortunately, this inequality that stems from the cities has found a way of affecting the rest of the country, urban or rural.

Experts cite the importance of creating public-private alliances that provide aid for low income residents to able to afford necessary health, legal and educational services. Strategies that aim to invigorate things like public transportation and job access are now a required item for any city official looking to change the status quo. Efficient transportation, for example, is a primary need for city residents – their productivity is greatly boosted when they don't have to worry about how and when they'll arrive at work. This practicality has historically driven new business opportunities to cities, especially those with higher population density. The current state of territorial organization – in which urban areas are surrounded by large suburban hubs – seems to have taken a toll on how people live and the opportunities they can actually have to make their incomes more stable and stronger. A nationwide overhaul on the investment that is provided in public services is required, as the economy seems to be slowing down every decade.