Recession Has Already Begun, Analyst Says

This is a depressing story.  According to John P. Hussman, we are entering another recession.

Some would argue that the last recession never ended.  If that is the case, then this would mean that the recession is getting worse.

There was no real upswing between the financial collapse of 2008 and today.  I wonder though, with our aging population (we don’t have enough kids) whether we will be able to pull out of it, or if we will end up in a kind of perpetual recession, like Japan.

Recession Has Already Begun, Analyst Says.

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1 Response to Recession Has Already Begun, Analyst Says

  1. James says:

    Perpetual recession may be the best outcome to hope for. I think a sadly plausible scenario goes something like this:

    1) Enormous deficit spending continues, skyrocketing the debt to over 90% of GDP.
    2) Economy severely buckles.
    3) To compensate, the Federal Reserve floods the country with money (QE), causing hyperinflation (or something close to it).
    4) Economy virtually collapses, America’s days as the world’s foremost economic power are gone forever.

    Alternatively, we could face severe tax hikes in a vain attempt by the government to cover its unsustainable debt, which would also be an economic devastator.

    …Or, more rational thinkers might prevail and a mad scramble to restore some fiscal sanity to the system might end up greatly prolonging the economic fall, which I guess would be preferable. Either way, I’m not looking forward to the next decade.

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