Speculators are saying that this may turn out to be the worst recession since the Great Depression. This is not going to help boost consumer confidence in the U.S which is extremely low. The household sector is being hit the hardest. Economists predict a 0.5% decrease in GDP this quarter. Many economists believe that this recession will last throughout 2009. The downturn is estimated to have been 18 months long so far, as the National Bureau of Economic research set the date for the start of the recession at December 2007.
Many however are hopeful that the government fiscal stimulus package along with President elect Barack Obama will be key in pulling the U.S economy of out depression. Many feel that these things will help increase consumer confidence, many predict the new team is much better equipped to handle the situation that Bush's administration.
Hopefully Obama's promise for change will become a reality.
1 comment:
I don't think speculators have to guess if this is the worst recession since the Great Depression- It Is the worst recession since the Great Depression. Although we don't see bread lines in the street we are surely in economic turmoil. And who knows when the recession will end. Being an optimist, i think it will end by the end of 2009 but who really knows until we get there.
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