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WORLD> America
Fed survey: US recession will last 14 months
(Agencies)
Updated: 2008-11-17 23:58

NEW YORK - Private-sector economists believe the US economy fell into recession last spring and now expect a sharp contraction in the fourth quarter of this year after slashing their forecasts for gross domestic product, a Federal Reserve Bank of Philadelphia survey said on Monday.


A trader works on the floor of the New York Stock Exchange, October 21, 2008. [Agencies] 

The bank's quarterly Survey of Professional Forecasters also predicted non-farm payrolls would shrink by an average 222,400 per month during the last quarter of the year, nearly five times the pace of monthly job losses forecast when the previous survey was taken in August. The previous estimate was for 45,400 jobs lost per month in the quarter.

The forecasters survey also said the US economy entered recession April and that the downturn would last for 14 months.

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