The Super Power America witnessed the worst year 2020 in economic terms and the main reason for this disaster is the novel coronavirus pandemic.
Local media of the United States reported that the country saw its sharpest contraction in growth since the year 1946 and its economy shrunk by 3.5 per cent in 2020.
The report added that the mass lay-offs since the outbreak intensified in the country continued to take a toll with the Labour Department saying that nearly 1.3 million new claims for unemployment benefits filed last week.
Many of the citizens are now eyeing the Biden administration with new hopes for the better future amid the pandemic that has taken 443,769 lives and infected 26,338,607.
The novel coronavirus pandemic caused an unheard-of whipsaw in the growth, with the economy contracting a record 31.4 per cent annualized in the second quarter of 2020 when the pandemic’s restrictions were at their most severe, then shooting back up 33.4 per cent the next quarter as businesses reopened.
In the fourth quarter, GDP grew by an annual rate of 4.0 per cent, according to the Commerce Department’s first estimate for the final three months of last year. Moreover, the US Net exports fell 13 per cent last year while personal consumption expenditures dropped 3.9 per cent.