For the U.S. economy, 2022 was a wild and somewhat painful year. And 2023 could be even more intense.
A year of stubbornly high inflation, rapid interest rate hikes and war-driven energy shock have weakened the U.S. economy. While the job market remains remarkably strong, many economists say the U.S. is likely to slip into a recession at some point next year.
And even if the nation avoids a recession, Americans will still contend with higher prices, high interest rates and the unknown impacts of the Fed’s fight against inflation. Political standoffs over government funding, entitlement programs and the federal debt limit also risk tipping the economy into more pain.
Plan for high inflation
Inflation has slowed significantly after peaking this summer at four-decade highs, bringing some minor relief to cash-strapped shoppers. Easing supply chain issues, slower consumer spending and lower fuel costs should help…
