Saturday, July 5, 2025

US Economic Forecast July 2025 (Deloitte Projection)

Reviewing various authorities and publications is a valuable way to understand how modern economics functions and the underlying reasons behind economic policies and decisions. At its core, economics is the study of human behavior expressed through quantifiable measures such as dollars, percentages, and other numerical data. The American Economic Association defines economics as the study of scarcity, which aligns closely with this concept. American Economic Association-What is Economics?

Economists study the economy by analyzing a range of metrics and benchmarks grounded in economic theory. These theories evolve as new discoveries are made, much like any scientific discipline. Importantly, economics is based on the best available knowledge at any given time. As technology advances, so does our ability to understand economic behavior and refine theoretical frameworks (The wizards of science).

From the Report Deloitte July 2025 US Economic Projection:

  • Reduction in tariff rates

  • Extension of tax reductions

  • Decline in the federal funds rate

  • GDP growth projected at 1.4% for 2025 and 2026; real GDP expected to rise further in 2027 and 2028

  • Continued interplay between inflation and employment levels

  • Slight increase in consumer spending anticipated in 2026

  • Ongoing home price inflation

  • Slower business investment expected in 2025, followed by significant growth in 2026 and 2027

  • Tariffs projected to increase but become more stable

  • Potential increase in new business formation

  • More



 

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