The Conference Board Economics Watch^® United States View

GDP in the United States is projected to grow at 2.0 percent in 2014, with the second half of this year revised lower—from an average of a 2.8 percent pace to about 2.5 percent pace. The continued slow pace of wage growth and consumer reluctance to finance purchasing (despite improved confidence) implies a little less spending than previously estimated. And, consequently, both investment and inventories are also likely to expand a little less than expected. Still, 2.5 percent growth is slightly above long-trend growth, and it is likely to continue into 2015. Despite these anemic growth rates, the US economy might be approaching full capacity soon.