Slower Than Expected: 2024 GDP Growth Rate Raises Concerns for Biden’s Re-Election Campaign

In the first quarter of 2024, the US economy grew less than anticipated, with a GDP growth rate of just 1.6%, according to data from the Commerce Department. This is likely to be a significant issue in President Joe Biden’s re-election campaign against his Republican challenger, former President Donald Trump in November. The decrease in growth has been attributed to several factors, including declining consumer spending and exports as well as state, federal, and local spending. Despite this slowdown, the US remains ahead of other major industrialized economies for the year. The International Monetary Fund (IMF) predicts a 2.7% growth rate for the US for 2024, which is an increase from last year and significantly higher than expected growth rates for other G7 countries such as Germany’s growth outlook of just 0.3%. Additionally, most currencies in the G20 group of major economies have depreciated against the US dollar this year due to a decrease in exports but overall economic outlook for country remain relatively strong compared to other industrialized states.