Spending Cuts Won’t Weaken The US Economy: They Will Strengthen It – OpEd

By Daniel Lacalle

The Federal Reserve Bank of Atlanta’s GDPNow model projection for real GDP growth in the first quarter of 2025 (Q1 2025) is now showing a slump to -1.5 percent. This marks a significant downward revision from the previous estimate of 2.3 percent on February 19, 2025.

Such an enormous decline is...