Los Angeles [California], December 13: Chapman University economists projected slow U.S. economic growth in 2026, according to the university's annual economic forecast.
The forecast, presented by Chapman University President Emeritus James Doti on Thursday, projected 2 percent real GDP growth in 2026, an improvement from an expected 1.8 percent in 2025, according to an analysis memo from the event.
Tariffs on imported goods, described in the forecast as "the highest in nearly a century," could weigh on "businesses that rely on overseas materials and consumers who may see higher prices on everyday goods," said the memo.
The economy would be stronger without the tariffs, Doti was quoted as saying in an Orange County Register report. "There's no question, the tariffs are having an impact," he said.
Doti argued that heavy spending on AI and wealth gains helped offset tariff effects, said the report.
The forecast cited record spending on AI infrastructure as a growth engine that could "create new jobs and business opportunities," according to the analysis memo, and also pointed to a rise of 55 trillion U.S. dollars in household wealth since 2020 that has supported consumer spending.
Source: Xinhua News Agency
