Page 16 - The SouthChina Business Journal
P. 16
C. TODAY
WHAT TO
EXPECT FROM THE
ECONOMY IN 2024
A possible economic slowdown would be
mitigated by the ongoing worker shortage.
By Curtis Dubay, Chief Economist, U.S Chamber of Commerce
Asmaller workforce will define the economy This has created a demographic shortfall for
in 2024. In fact, it will be the key economic the workforce. For economic growth, it is ideal
challenge we face for the foreseeable future. A for succeeding generations to be larger than
shortage of workers will be hard on businesses, the ones before them. Visualized, it should look
but for some consumers it also means they will like a triangle, with younger generations being
always be able to find a job that can support their larger than the ones that came before. Instead,
spending. That will put a floor under any economic we have an inverted triangle.
weakness in 2024.
This means that as Boomers retire and exit the
Smaller Workforce Is Key workforce, there are not enough workers in
to Understanding Future the younger generations to fully replace them.
Economic Trends Boomers will still be spending and consuming,
so businesses will still need to meet strong
Our workforce is too small because of simple demand, but they will have to do so with a
demographics. The Baby Boomer generation was smaller pool of workers.
more than three times larger than the generation
that came before it, the Silent Generation. As the Worker Shortage’s
Boomers entered the workforce in the early 1960s, Impact on the Economy
labor force participation rose sharply. in 2024
However, the following generation, Generation X, was The economy is likely to slow in early 2024
smaller than the Boomers. The Millennial Generation is because consumer spending is likely to slow.
only slightly larger than the Boomers, and Generation Consumers have relied on savings accumulated
Z is slightly smaller than the Millennials. during the pandemic and credit card balances
13 AMCHAM SOUTH CHINA
WHAT TO
EXPECT FROM THE
ECONOMY IN 2024
A possible economic slowdown would be
mitigated by the ongoing worker shortage.
By Curtis Dubay, Chief Economist, U.S Chamber of Commerce
Asmaller workforce will define the economy This has created a demographic shortfall for
in 2024. In fact, it will be the key economic the workforce. For economic growth, it is ideal
challenge we face for the foreseeable future. A for succeeding generations to be larger than
shortage of workers will be hard on businesses, the ones before them. Visualized, it should look
but for some consumers it also means they will like a triangle, with younger generations being
always be able to find a job that can support their larger than the ones that came before. Instead,
spending. That will put a floor under any economic we have an inverted triangle.
weakness in 2024.
This means that as Boomers retire and exit the
Smaller Workforce Is Key workforce, there are not enough workers in
to Understanding Future the younger generations to fully replace them.
Economic Trends Boomers will still be spending and consuming,
so businesses will still need to meet strong
Our workforce is too small because of simple demand, but they will have to do so with a
demographics. The Baby Boomer generation was smaller pool of workers.
more than three times larger than the generation
that came before it, the Silent Generation. As the Worker Shortage’s
Boomers entered the workforce in the early 1960s, Impact on the Economy
labor force participation rose sharply. in 2024
However, the following generation, Generation X, was The economy is likely to slow in early 2024
smaller than the Boomers. The Millennial Generation is because consumer spending is likely to slow.
only slightly larger than the Boomers, and Generation Consumers have relied on savings accumulated
Z is slightly smaller than the Millennials. during the pandemic and credit card balances
13 AMCHAM SOUTH CHINA
