Oct. 8, 2013
The International Monetary Fund on Tuesday cut its growth forecast
for the US economy, and warned that Washington’s political paralysis
could drag growth down further.
The Fund, in its new World Economic Outlook, said the US economy
would grow 1.6 percent this year and accelerate to 2.6 percent in 2014,
down respectively 0.1 and 0.2 percentage points from its July forecast.
It said the reduction was due to the impact of the sharp sequester
spending cuts instituted by the government earlier this year aimed at
trimming the federal deficit.