US recovery “should continue” if coronavirus outbreaks are limited: Fed’s Harker

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US recovery




Illustrative file photo of the US Federal Reserve building in Washington


© Reuters/LEAH MILLIS
Illustrative file photo of the US Federal Reserve building in Washington


WASHINGTON, Sept 29 (Reuters) – The recovery in the US economy should continue, but this depends on people wearing masks to slow the spread of the coronavirus and the eventual distribution of a vaccine, the Federal Reserve chairman said Tuesday. from Philadelphia, Patrick Harker.

As the economy improves faster than initially expected after the recession it fell into in the spring, Harker noted that the future “hinges on a sustained decline in new infections – probably as a result of near-universal mask use – that ensures outbreaks only sporadic, “Harker said on a virtual forum.

He commented that the road to recovery would be sustained “assuming, in addition, that there will be a widely available vaccine by the middle or end of next year.”

Many vaccines are currently in the clinical trial stages, but their success and pace of development are not guaranteed. The United States is far from suppressing the spread of the virus and does not even have national protocols on the use of masks.

Harker said that as long as the health crisis persists, elected government officials need to renew “proportional” aid for unemployed workers, small businesses and other sectors hit hard by the recession.

Even if the recovery continues and a new coronavirus outbreak is prevented, “employment, unfortunately, will not return to pre-pandemic levels until 2023,” Harker said.

Given the high numbers of unemployed people, “I urge legislators to consider providing additional aid soon,” he added.

(Reporting by Howard Schneider. Edited in Spanish by Marion Giraldo)

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