The Atlanta Federal Reserve is projecting a contraction of the nation’s gross domestic product (GDP) of 1.5 percent in the first quarter, flashing a warning sign for the U.S. economy. The projection is a significant shift for the Atlanta Fed over the last few weeks that comes a little more than a month after

The Atlanta Fed’s GDPNow on Friday lowered its forecast for the U.S. economy to a contraction at a 1.5% annual rate. This would be the first quarterly contraction in the economy since the first quarter of 2022.

Government spending makes up 6% of total gross domestic product. And besides, spending cuts come with economic ripple effects.

A new analysis shows that the top 10% of earners are behind almost half of all consumer spending, which is almost 70% of GDP.

India's economic growth is expected to have picked-up in the October to December quarter as rural consumption improved following a good monsoon and government spending gathered pace.