Finance article The $1 billion dollar-grossing stock market rally of the last couple of years is well under way, but the latest report from McKinsey and Co. is raising questions about the health of the American economy.
The firm said Thursday that the U.S. economy grew at a 3.9% annualized pace in the second quarter, the weakest since 2011.
The annualized growth rate has been below 3% since the third quarter of 2015.
The firm also said the economy is growing at a faster pace than it did last year, and it expects that pace to increase to 3.8% by the end of the year.
The data also show a widening gap between the rich and the rest of us.
Wealthy Americans now own a larger share of our economy than they did just two years ago.
According to the McKinsey report, the share of wealth owned by the wealthiest 1% of Americans grew from 26.6% in 2013 to 26.7% in 2016.
That’s up from 22.4% in 2014.
In contrast, the percentage of wealth held by the poorest 1% dropped from 20.4%, to 17.9%, in 2016 to 18.5% in 2017.
The gains from the wealth share of the wealthy are offset by the loss of the middle class.
The middle class saw a 2.9 percentage point decline in wealth between 2015 and 2016, while the richest 1% lost an additional 2.6 percentage points.
That means the gap between rich and poor grew by 3.4 percentage points between 2015 to 2016.
The gap between poor and rich in 2016 widened from 16.9 to 20.5 percentage points, according to the report.
The McKinsey researchers also found that the share in the workforce has declined by 4.6 million people since 2007.
That puts the share that is employed at less than 40% of the workforce in 2020.
That number dropped to 35.6%, the lowest since 2007, when the labor force participation rate stood at 58%.
The McKinsey analysts said that it is unclear what caused the decline in the labor market, but they expect that to continue to be a factor in the economy.
While many of these factors have contributed to the sluggish economy, there are also a number of factors that may have contributed.
The biggest of these is a weak job market.
McKinsey said that the number of jobs created fell by 8.4 million between 2015-16 and 2016-17, while total employment fell by 7.5 million, or about 10%.
The firm pointed out that while the number dropped, the job market is still strong.
The number of people with jobs grew by an estimated 6.6%.
The number with part-time work increased by 2.4%.
There were also 8.5m jobs added in nonfarm payrolls, up from 6.2m jobs created in 2016-18.
In the services sector, the number with a job grew by 5.6%; the number in construction grew by 4%; and the number that are in the retail trade rose by 2%.
The company said that although many of the gains in jobs were in the service sector, there were also job gains in manufacturing and mining.
The increase in manufacturing jobs was largely due to the continued expansion of manufacturing.
The McKinseys also said that there were 7.3 million fewer people working in retail, manufacturing and government services in 2020 than there were in 2015.
The report said that while it is difficult to quantify exactly how much of the job loss was due to automation, the economy has been slowing down for some time.
The U.s. economy added a total of 3.2 million jobs between the fourth quarter of 2016 and the first quarter of 2021, but there were a total decline of 1.8 million jobs in 2021 compared to the fourth-quarter of 2020.
In a separate report Thursday, McKinsey also said it is still unclear how much the U the Federal Reserve will increase interest rates, and whether or not it will be raising them.
The Federal Reserve’s next meeting is scheduled for June 11, and there are a lot of uncertainties around its next course of action.
The Fed raised interest rates in September, which sent the market into a tailspin.
The Fed also said on Thursday that it may not hike rates for another two years, which is another sign that things are not going to get better for the U’s economy.