The forecasters expect the economy to continue to grow, though at a bit slower pace than in previous years, which will raise the unemployment rate slightly. Inflation is not expected to increase, however, and long-term interest rates are expected to decline slightly. The panelists forecast that real GDP growth will average 3.0 percent per year over the next 10 years, an increase of 0.3 percentage point from their forecast made in June. This forecast may largely be a response to the revised national income data, which raised recent real GDP growth rates an average of 0.4 percentage point. However, the consumer price index is expected to rise an average of 2.5 percent per year over the next 10 years, which is 0.1 percentage point lower than in the June survey.
Stock prices keep rising The forecasters remain optimistic about the stock market.
The Livingston Survey was started in 1946 by the late columnist Joseph A. Livingston. It summarizes the forecasts of economists from industry, government, banking, and academia. It is now published by the Federal Reserve Bank of Philadelphia in June and December.