In spite of President Joe Biden and the Federal Reserve putting forth their best efforts to deflect it, a recession looks all but confirmed for 2023. And it could get even worse.
Gross domestic product fell 0.9 percent for the second quarter of 2022, according to the Bureau of Economic Analysis. While that’s not as severe a decline as the 1.6 percent consumers saw in the first quarter, it’s still a decline – and paints a not-so-pretty picture for what lies ahead.
The National Bureau of Economic Research also chimed in on the report, declaring both recessions and expansions, though it will hold off just how long those will last until the third quarter period report drops in a few months.
Some are optimistic that the U.S. could bounce back from this. Mark Zandi, chief economist for Moody’s Analytics, said to CNBC, “We’re not in recession, but it’s clear the economy’s growth is slowing. The economy is close to stall speed, moving forward but barely.” But wouldn’t a stall indicate signs of a growing recession?
Not to mention the fact that there’s signs of inflation stopping. So even if it does enter into a recession, with its growth, it could go even further – possibly into another Great Depression, the first one we’ve seen in decades.
Here to discuss this in further detail is our guest, Steve Beaman. He serves as CEO of The Elevare Club and expert on private equity, and his insight should prove useful in what lies ahead for the economy over the year ahead.
Q&A:
- Why do you think some people are hesitant to confirm that a recession could happen? Are they worried about the blowback from certain financial partners or U.S. citizens in general, or is it something else?
- This second quarter marks the second straight decline in the U.S. economy. Do you believe things will get worse, or is there a chance for any sort of return into positive numbers?
- Could we be seeing another Great Depression sooner rather than later? Or do you believe this could be prevented?
- There also seems to be a steady number of layoffs from the report, with 256,000 for the week ending July 23rd. Do you see this continuing as the year goes on, or could things change?
- Where do you see consumer spending going from here? It’s already been impacted enough from COVID, but with inflation and now a pending recession, it’s likely that people will try to save their money for essentials.
- What advice do you have for those that are unprepared for what’s to come from a recession?
- Elevare Club deals with small businesses on a regular basis. How do you think they will be affected by the recession? So many have already been lost over the past couple of years due to other factors.
- You are founder and CEO of The Elevare Club. Tell us more about The Elevare Club and where we may get more information on the services you offer to small businesses.
Steve Beaman is a self-made millionaire who sunk to the depths of financial despair and rose back up to the heights of economic prosperity. Having enjoyed years of a happy marriage to falling into the depths of divorce, destruction, and despair, Steve has seen it all. Steve worked at Wharton Econometrics, Zacks Investment Research, and the E.F. Hutton Company. A founding partner of the Wall Street firm Chicago Investment Analytics, Steve sold the firm to Charles Schwab in 2000. Currently, Steve is CEO of Elevare Club, a holding company for a group of companies providing services for small businesses, including the capital, payment processing, accounting, legal, advertising, and even help in hiring. Steve is a licensed scuba diver, a private pilot, and the father of six children.
CONTACT: To schedule an interview with Steve Beaman, call Jerry McGlothlin at 919-437-0001 or email jerry@specialguests.com
