Monday, November 1, 2010
No Double Dip Seen On Horizon
From the Economic Cycle Research Institute, (No, I have never heard of them before this.) the leading economic indicators show that we are not headed for another recession. In fact, according to this group, we are on the track that all recessions and recoveries have made since World War Two. That's the good news. However, we're not out of the woods just yet. the lack of growth we saw in 2010 will continue in 2011. And so, the Fed will continue quantitative easing, or creating more money in the hopes of improving the economy. This could create many more problems than it would solve, as it would be based on past economic performance factors and hard to measure variables. Because of this, as well as poor timing on the Fed's part, and their giant sheets, we may seeing bigger booms and busts with more frequent recessions.
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