By AZ Big Media
In October 2022, the Wall Street Journal reported that a survey of more than 60 economic forecasters expected the U.S. to enter a recession in 2023 with inflation continuing to run high and employers cutting jobs as the economy contracted. Az Business magazine sat down with the following Greater Phoenix Economic Council (GPEC) experts to discuss if the predictions of 2023 were borne out, potential weaknesses in the region, the second-order effects of attracting large projects and what to look out for in 2024.
Az Business: Going into 2023, there were lots of bleak economic outlooks in the press. How did those forecasts hold up to reality this year?
Chris Camacho: First, I’d say a lot of the economists were viewing the paralysis tied to the inability to curb inflation as something that was going to be a long-term problem for the country. While that has been a challenge, the Fed has been very active to try to neutralize inflation as best as they can.
But one of the positives is that a place like Phoenix — due to its location next door to California and Mexico — is strongly positioned to capture a lot of global manufacturing growth that’s happening now in America. I think it’s going to lead to a decade’s worth of economic diversification, which is something that we’ve strived for over the past two decades.
