The US economy could be headed to a recession after the economy shrank by 1.8-percent in the first three months of this year. 

Iowa’s Third Congressional District  Representative Cindy Axne says she is keeping a close eye on historical data, what economists are saying, and how inflation is trending. Axne explains that the record high inflation has been a factor in the economy shrinking. 

“If this inflation continues and we end up down the road in a worse position we’re going to have to address that, so my job is to stay on top of all this.” 

Axne also states that the economy does have good things going on.

“What we do know, too, is people do have money in their pockets. We were able to keep Main Streets alive during COVID. We kept people with jobs, which is why we have low unemployment. And so there are a lot of really good things as well. And let’s figure out how we can best balance those opportunities with the impacts that we’re having right now.”

A recession is defined as the US economy having two consecutive quarters of negative economic growth.