Recession: This is the hardest world for any business economist to pen, especially when the equity market is on a tear. Nevertheless, that is the reality of a slow growth, deflationary world where not much negative must happen to push the 1% growth economy into negative territory. Post-election, markets initially rose on the hopes of economic stimulus from the Trump administration. Then, they flattened as prospects for rapid policy changes …Read More
Economic recovery close to self-sustaining
Economic recovery close to self-sustaining Each and every day there is a consistent drumbeat that the equity markets are in nosebleed territory and that the end of the six-year bull market is close. Don’t believe it! Almost all of the underlying indexes, anecdotal evidence, and most of the headline data indicate that the economy is just about to achieve “escape velocity,” where economic growth becomes self-sustaining. Such “escape velocity” has …Read More
