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The Conference Board Economics Watch® United States View

U.S. economy to strengthen as fiscal drag lessens 

•   Despite weak 1H growth, economic growth to speed up in 2H 2013

•   Fiscal drag should lessen going forward and private sector activity firm

•   Continued strengthening in the housing and labor markets to lead the way

•   GDP growth was revised up in 2012, boosting productivity growth in 2012

•   However, recent slowdown in productivity growth must reverse in order to support expected economic acceleration

•    Dysfunction government still poses a downside risk to economic outlook

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