Economic End Times - by Stephen Lendman
Despite a deepening global depression, establishment economists are in denial. On June 9, the Wall Street Journal said those surveyed expected slow, steady growth through 2011, despite high US unemployment, a housing depression, European sovereign debt in crisis, and the unreported insolvency of major French and other banks.
On June 8, testifying before the House Budget Committee, Fed chairman Bernanke fantasized about 3.5% US growth through 2011, stopping just short of ruling out the possibility of recession he called "unlikely."
And in 2007, when equity and housing bubbles peaked, neither he or Greenspan expressed alarm, destroying their credibility in the process.
Based on an early August survey, establishment (in bed with Wall Street) economists now put the chance of "another" downturn at 30%, compared to 15% in May, expecting 2.5% growth over the next year.
Some, in fact were sanguine, calling America's economy strong, attributing negative views to a crisis of confidence, not hard reality, signaled by the August 4 shot across the bow market rout.
Despite a predictable rebound, it signified much worse to come because conditions are dire getting worse. Even manipulated data show enough to sound alarms, highlighted by economists like David Rosenberg.
On August 15, he expressed surprise about so "little reaction to the shocking US consumer sentiment data that were released on Friday - the worst since the tail end of the Jimmy Carter recession era in 1980."