Abby Rogers, Eric Platt and Sam Ro
It's never easy to forecast what the economy will do in a given year. A year ago, many economists saw the U.S. growing modestly in 2011. The unemployment rate was expected to remain elevated and interest rates were expected to rise.
However, 2011 proved to be much more volatile than anyone could have imagined. The debt ceiling debacle in Washington ended with the U.S. being stripped of its AAA credit rating, QE2 ended, and a slew of overseas events threw a bunch of curveballs at the economy: Japan's earthquake and tsunami, Thailand's floods, the Arab spring, and the escalation of the eurozone debt crisis.
It's never easy to forecast what the economy will do in a given year. A year ago, many economists saw the U.S. growing modestly in 2011. The unemployment rate was expected to remain elevated and interest rates were expected to rise.
However, 2011 proved to be much more volatile than anyone could have imagined. The debt ceiling debacle in Washington ended with the U.S. being stripped of its AAA credit rating, QE2 ended, and a slew of overseas events threw a bunch of curveballs at the economy: Japan's earthquake and tsunami, Thailand's floods, the Arab spring, and the escalation of the eurozone debt crisis.
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