Economic Indicators
BofA Global Research expects hit to U.S. GDP growth from auto workers’ strike
2023.09.13 08:04
© Reuters. FILE PHOTO: A Bank of America logo is seen on the entrance to a Bank of America financial center in New York City, U.S., July 11, 2023. REUTERS/Brendan McDermid
(Reuters) – BofA Global Research warned a full strike by United Auto Workers (UAW) would likely have an about 0.1 to 0.2 percentage points impact per week on U.S. gross domestic product (GDP) growth.
Stephen Juneau, lead U.S. economist at the brokerage, said in a note on Tuesday that if the strike were to last an entire quarter, it could drag down GDP growth by 1.6 to 2.1 percentage points.
Juneau, however added, that it was unlikely the strike would last a full quarter given a finite UAW strike fund and previous strike records.
