Grim 2012 Economic Outlook - by Stephen Lendman
Hard times getting harder ahead.
Yearend isn't just about holiday season binge shopping, parties, and over-indulgence. It's also when economic predictions surface.
The Wall Street Journal publishes consensus views. On December 23, it headlined, "Risks Cloud Outlook for Economy in 2012," saying:
"The economy is poised for another year of muddling through. Most private economists forecast a modest 2% growth rate for the US....with a pace subdued by housing woes, a lackluster job market, and cuts by government."
"They also warn of potential spillover from weakness abroad, including a mild recession apparently under way in Europe."- Advertisement -
Concerns and uncertainties highlighted included:
- global weakness, threatening US exports;
- weak housing demand with foreclosures affecting prices;
- protracted unemployment and weak job creation; and
- government belt tightening.
Overall, mainstream economists predict continued recovery from crisis conditions beginning in late 2007. In fact, heading into it, they forecast continued good times.
According former market analyst Bob Farrell :
"When all the experts and forecasts agree - something else is going to happen."
In other words, when mainstream consensus forecasts one way, expect another.