NEW YORK—Many business economists expect modest economic growth for the rest of the year, with only a small percentage taking a more bullish outlook, according to a new survey.
Four-fifths of the experts surveyed by the National Association of Business Economics expect fourth-quarter growth of at least 2 percent. But only 7 percent predicted growth will top 3 percent, down from the 16 percent who held that optimistic view in July.
Expectations are declining for fourth-quarter wages and employment, said Jim Diffley, senior director at consulting firm IHS Inc. and chairman of the survey.
Only 29 percent of those surveyed expect their company to add jobs in the next three months, the lowest rate this year, according to the survey released Monday. But half of the economists said their firms had trouble filling some jobs, and one-third continued to say their companies face a shortage of skilled workers.
On pay, 44 percent expect their companies to boost wages, the weakest outlook since a survey one year ago. In the last quarter, a third of the firms in the survey raised pay, down from more than 40 percent in each of the previous two quarters.
