12 FABRICARE FE ATURE FAIR WEATHER AHEAD: THAT’S THE ECONOMIC FORECAST FOR 2018. Business operations should benefit from an improving employment picture, growing disposable consumer income, and an easy credit environment. “The United States economy continues to power forward,” said Sophia Koropeckyj, Managing Director of Industry Economics at Moody’s Analytics, a research firm based in West Chester, Pennsylvania. “Furthermore, for the first time during the nation’s eight-year expansion, there are no serious impediments to growth.” Brisk tail winds should keep the economy in full sail for the near future. “Consumers are benefiting from a strong job market, their balance sheets are healthy, and credit is flowing freely,” said Koropeckyj. “A revival in profitability, record stock prices, and rock-bottom borrowing costs are buoying businesses.” Even the global picture is brighter. “All of the major economies are expanding in unison for the first time in a decade.” STEADY EXPANSION For 2018, Moody’s expects Gross Domestic Product (GDP) to grow by 2.9%, thanks mostly to stronger growth in residential investment and government spending. That’s a healthy increase from the 2.19% GDP growth expected for 2017 when numbers are finally tallied. This figure was itself an increase from the 1.49% of the previous year. (GDP, the most common measure of economic growth, is the total spending on goods and services by consumers and businesses.) A strengthening labor market should put more spendable cash in consumers’ pockets, helping accelerate business activity in general. “We expect well over two million jobs to be created in 2017,” said Koropeckyj. “This is about the same growth experienced since the expansion began over eight years ago.” Strong job growth resulted in an unemployment rate of 4.4% by the end of 2017, a figure which is expected to fall to 3.94% by the end of 2018. Economic Forecast Mostly Sunny With A Chance Of Storms Ahead Despite brisk growth, analysts fret over housing, banking, debt, and scarce labor By Phillip M. Perry continued on page 13 This article is reprinted from the December 2017 issue of Textile Services, the Magazine of the Textile Rental Services Association, with permission.