Although the coronavirus has taken its toll on the economy, the US economy has managed to recover in the first three months of this year as many businesses across the States reopened and the government spent heavily on Covid relief for citizens. The economy grew at an annualised rate of 6.4% up from 4.3% in the final three months of 2020. The US economy is coming back more rapidly than originally thought after contracting sharply in 2020. However, it is still several years away from fully recovering from COVID’s effects in the recession of the economy.
The strong growth and comeback of the US economy was partly down to worries and anxiety over the pandemic being slightly relieved as the COVID vaccines have been rolled out across the US, subsequently boosting domestic demand and allowing some businesses such as restaurants and bars to be allowed to be open.
The US economic recovery has gained some more momentum. The US has experienced a stronger rebound than most developed economies. However, the country is still suffering the economic effects of the pandemic like most other countries. The economy is still behind the level of activity at the end of 2019. In fact, the economy is even further adrift of where it would have been if the pandemic had not knocked it off its growth path and caused it to suffer. However, this is to be expected from a health crisis such as COVID-19. Overall, the United States have managed to rebound from the recession that has come across them and their economy is starting to grow again.
