Why US economy is powering ahead of Europe's

In terms of GDP, the US posted a 3.3% gain in the fourth quarter of 2023 , far exceeding economists' expectations of 2% . That put the US at 2.5% over the course of the year , outpacing all other advanced economies and on track to do so again in 2024 .

Experts say there are several reasons why the US is outperforming other nations.

The impact of the Ukraine war on energy prices was a lot worse in Europe than in the US , says Ben Westmore .

Gas prices in Europe between early 2021 and 2022 shot up by something close to 20% , he says.

European countries have seen not only a bigger increase in prices, but also a greater propensity for businesses to pass on to consumers.