JPMorgan economists are predicting a devastating 40% drop in U.S. GDP in the second quarter, coupled with a 20% unemployment rate, as the economy continues to be paralyzed by government-ordered lockdowns amid the coronavirus pandemic.
A GDP implosion of 40% would be historic. The worst quarterly drop of the Great Recession was 8.4%.
The highest unemployment rate ever was around 25% during the Great Depression.
Morgan predicts the total job loss due to COVID-19 to number 25 million.