The US economy: “symptoms” of a recession and the “diseases” of high-tech industries

An analysis of the current state of the US economy is provided, as well as an outlook of its further development in the context of economic cycles: how close and real is a recession under the current conditions. Key attention is paid to the aggressive monetary policy of the US Federal Reserve System (Fed) and its impact on rising inflation and employment rates in the country. In particular, mass layoffs in the IT sector are analyzed in relation to the current economic cycle and in retrospective comparison with the dot-com crisis of 2001. It is revealed that the credit crisis that formed in the course of an active monetary policy influenced the actions of the Fed. However, it is concluded that, in general, the vector of US monetary policy will remain the same in the near future and will most likely lead to a soft landing recession in the second half of 2023, which is confirmed by changes in current and forecast macroeconomic indicators of the US economy, as well as changes in the condition of the world economy in general.

IT companies, unemployment, inflation, recession, technology startup, financial crisis, financial sector