Restoring America

Conservative values, National renewal

Why recession fears are overblown

By James Rogan

Published March 4, 2025 6:00am ET

Why recession fears are overblown — Traders work on the floor at the New York Stock Exchange in New York. For President Joe Biden, the past few days have raised hopes that the U.S. economy can stick a soft landing — possibly avoiding a recession as the 2024 election nears. (Seth Wenig/AP Photo/)

Fears of a recession are greatly exaggerated. Sometimes, the market believes in ghosts.

The fears, however, are real. Last Friday, the Federal Reserve Bank of Atlanta lowered its GDPNow model of economic growth for the first quarter to a negative 1.5% annually. The Atlanta Fed’s forecast model stirred up talk of recession. One prominent economist said the economy is slowing at an alarming rate. But is it really falling into recession?