Breakdown of Það er sagt að hagkerfið muni stækka.
vera
to be
það
it / there (existential) / the one (n)
að
that (conjunction)
segja
to say
stækka
to expand
munu
will
hagkerfið
the economy
Questions & Answers about Það er sagt að hagkerfið muni stækka.
Why is the past participle sagt used here instead of sagður or sögð?
Because this is an impersonal passive construction. The dummy subject það is grammatically neuter singular, so the past participle of the verb segja (to say) must agree with it, taking the neuter singular form sagt.
Why is the verb munu in the subjunctive form muni here rather than the indicative mun?
The phrase Það er sagt að introduces reported speech. In Icelandic, verbs in indirect statements usually take the subjunctive mood to show that you are relaying a claim rather than stating an absolute, direct fact.
Could we drop muni and just say að hagkerfið stækki?
You could, but the helper verb munu specifically marks the future tense (will expand). If you just used the present subjunctive stækki, it could imply that the economy is expanding right now rather than making a prediction about the future.
Does the reporting phrase Það er sagt að change the case of hagkerfið?
No. The að (that) starts a completely new subordinate clause. hagkerfið (the economy) is the subject of this new clause, so it stays in the nominative case.
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