Analysts are managing that cognitive dissonance as well as can be expected.
Survey chair Sally Wade noted that “NABE panelists have become more optimistic, on balance with nearly one-third revising their outlook higher based on recent news of effective vaccines.”
While the NABE survey estimated economic growth at an annualized rate of 4.1% in Q3 2020 with growth slowing to 2.9% in Q1 2021, 73% of respondents expect the American economy to bounce back to pre-pandemic levels by mid-2021.
Over half of the panelists agreed that the biggest threat to the recovery remains the ultimate unknown, the pandemic. For 27%, however, the biggest risk is insufficient financial aid from the government.
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