U.S. third-quarter GDP growth of 33.1% economic alarm is far from being lifted

On October 29, local time, the U.S. Commerce Department released its first estimates showing that U.S. real gross domestic product (GDP) grew by 33.1% on an annualized basis in the third quarter of this year.

The analysis suggests that the sharp increase in U.S. GDP in the third quarter on an annualized basis was based on a 31.4% plunge in the second quarter on an annualized basis. In fact, the alarm facing the U.S. economy is far from being lifted as the epidemic continues to worsen.

The momentum of the U.S. economy is now weakening as a surge in confirmed cases and bailout measures are hard to come by, increasing business bankruptcies and permanent unemployment. Many economists expect that it will take at least two to three years for the United States economy and employment to return to pre-pandemic levels.