NADA: 16.4 million sales in 2014, driven by home values, jobs

NADA: 16.4 million sales in 2014, driven by home values, jobs

NADA chief economist Steven Szakaly forecasts 16.4 million auto sales this year, driven by higher home values, residential construction and rising employment. That marks a 5.8 percent increase from 2013.

Consumers will be far better off in 2014 than last year, Szakaly told reporters at the NADA Convention. Employment is improving, debt has been reduced and home prices across all regions of the country will remain stable or will rise, creating a positive wealth effect.

Szakaly expects Gross Domestic Product to grow about 2.8 percent this year. Employment, particularly in construction and services, will improve in 2014, and moderating gas prices and an improved housing market will help offset stagnant wages and income.

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