Economists: slower growth, higher oil prices from

NEW YORK - economists are component back their expectations for us economic growth this year.

A survey of the National Association for Business Economics predicts GDP will grow to 2.8 per cent this year - dropped from prediction of February in the group that it would increase by 3.3%. Their prospects for consumer spending and also weakened housing market, in part because they expect oil prices remain above US $100 per barrel by 2012.

In a poll which the NABE releases Monday, a panel of 41 economists also said that they "remain very concerned" about the deficit increasing and said that the growth in the first three months of the year has been lower than expected.

The predictions of economists reflect the restlessness of a public who has yet to recover from the financial crisis and now get pressed by rising gas prices, products of groceries and other household items. Retailers of all stripes are paying more for raw materials that they need to make their products, as fuel, wood pulp and cotton and say that they are not the choice of transport but to pass along the higher prices to customers.

The NABE Outlook survey is published quarterly. For this report, the survey was conducted from April 13 to May 1. For the latest report, published in February, economists were surveyed from January 25 to February 9. Since then, disorders themselves are widespread in certain regions of the Middle East and North Africa, who played a role in the increase in the price of raw materials and gas.

Economists said that they expect GDP to grow to 2.8% in 2011 - a decrease of 3.3% prediction they made at the surveyed in late January and early February. They also lowered predictions for the growth of this year (2.8%, compared to 3.2 per cent) consumer spending and implemented site (610,000, down 660 000). They expect also the prices of real estate, in the fall of 1.5% after earlier stating that they would increase by 0.4%.

Oil averaged $105 a barrel this year, economists said, maximum $93 predicted in the last survey. They hope that the oil prices to remain high at $103 per barrel by 2012.

Oil closed at $99.65 US per barrel Friday. A gallon of regular gas averaged $3.96 per gallon that day, according to AAA.

Business spending, was light spot in the NABE predictions. Economists expect spending on business equipment and software to rise 11.9% this year, due to increased demand after that companies reduce spending during the recession. The profits of the business will increase by 8.5%, they predict.