Chief Economist Commentary

Hear from T. Rowe Price Chief Economist Alan Levenson about the latest economic developments.

Improving Economy Could Signal Fed Change on May 24, 2013 With recent data showing the U.S. economy continuing to expand at a moderate pace, domestic stock markets trading near record highs, and some Fed officials publicly worrying that very low interest rates could destabilize markets, many investors are increasingly attuned to signs that the central bank is preparing to temper its easy-money policies. Read More

After a slowdown at year-end, the U.S. economic recovery appears to be back on track. In a recent interview, Alan Levenson—chief economist for T. Rowe Price—discusses the U.S. economic outlook for the rest of the year, including what forces got us to this point and what the prospects are for stronger growth.

While it was a relief at year-end to have an agreement that averted the "fiscal cliff," the debate over U.S. fiscal policy is about to begin again in earnest over the debt ceiling and federal spending. In a sense, the fiscal cliff fix was just part one, the result of which is the American Taxpayer Relief Act of 2012 passed by Congress on January 1.

The economic recovery has proceeded slowly since the recession ended in 2009, but the recent Fed decision to provide sustained monetary stimulus could provide a modest tailwind to both the expansion and the jobs market. However, these efforts could be hampered by the impending fiscal cliff.

In what has become a familiar pattern over the past three years, the U.S. economy seemed to be gaining momentum early in the year only to falter in the spring. In a recent interview, Alan Levenson, T. Rowe Price's chief economist, discusses this worrisome trend and the broader economic outlook.