Some economic indicators just don’t make sense and that adds to the uncertainty of forecasting this phase of the economy, a leading Atlanta economist said Thursday.
Rajeev Dhawan, of the Economic Forecasting Center at Georgia State University, wondered, for example, how the construction industry could have added jobs in the first three months of the year, when the region was paralyzed by two ice storms.
“Construction was so strong in February; that is a mystery to me,” Dhawan said, before concluding that he is “gingerly betting on growth” in the regional and state economy.
Everyone is looking for a breakout year for the economy. So much so that Georgia State University went ahead and said it probably won’t be so.
“Forecaster says odds are against 2014 being a breakout year for the economy,” is the headline that GSU put on its statement about the latest economic forecast by Rajeev Dhawan, of the school’s Economic Forecasting Center.
On Friday, the U.S. Commerce Department revised downward its estimate of quarterly growth at the end of 2013. The growth rate was dropped by 25 percent from initial estimates, from 3.2 percent growth to 2.4 percent.