High Oil Price and Earthquake Have Hindered US Economic Growth

The cost-effective rise in US with the first quarter of your year shows rather ordinary performance due to the rapid development of oil price. Some analysts explain that the price popularity of oil has exposed the economic continuing development of the year 2010 to great pressure and obstacles.

Statistics indicate your economic rate of growth of Country reached 3.1 percent inside fourth quarter of 2009 even though the growth rate from the first quarter from this year has declined to 1.8 percent. The american Department of Commerce was intending to conduct correction toward the efficient data within the first quarter on May 26, local time. Some analysts predict that percentage can be likely to reach 2.2 percent right after the correction. Provided that the commercial perspective in the second quarter and also second half year can be involved, various parties available in the market are holding a fairly cautious and positive attitude toward this problem. Numerous people even express the fact that the economic rate of growth of the United States may not be prepared to exceed 3 percent within this year. David Wyss, the key economist of your Standard; Poor in California forecasts which the economic rate of growth of the United States will always be around 2.5 percent on the second quarter of this year. On the other hand, he predicts that economic rate of growth of the whole year might reach 2.7 percent, additionally, the percentage in in 2009 was 2.9 percent. The efficient professor of your branch university of California State University on Channel Islands, Sung Won Sohn claimed when finding the interview that: the extremely high oil prices are no doubt travelling to hinder American economic growth and development.

In reality, on top of the high oil price, American economy continues to confronting which includes a large number of other tough obstacles. Including, quite a few people are preoccupied that sovereign debt crisis in Europe might future drag US economy into another dark abyss. Moreover, the earthquake and tsunami happened in Japan might increase US's likelihood of breaking the supply chain in relation to US manufacturing industry. This is because US automobile and electronic product manufacturing publication rack towards a considerable extent determined by importing core components from Japan for example some special mineral processing equipment.

Even though the influence belonging to the financial meltdown is gradually fading in US, america has not totally recovered from your severe impact yet. US needs to keep attaching more attention while focusing to economic development.