Business

The recession is over!
by Magdalena Rosova

The newest survey shows that the worst American recession ever since the Great Depression is finally over. However, week consumer's spending and lack of jobs will slow the pace of the economy's recovery. 44 professional forecasters from the National Association for Business Economics, also known as NABE, released the survey on Monday. The surveys proved that 80 percent of the respondents believe that the economy is recovering. Lynn Reaser, a president of NABE, told that the great recession is over. Even though most of business economists think that the crisis is over, they warn that the economic recovery will be more moderate. This recession started in December 2007 and is the deepest recession ever since the 1930s. The recession was caused by housing market's collapse in USA and it brought credit crisis to whole world. Analysts believe that the economy will rebound in the third quarter but ordinary Americans will see difference much latter. The NABE survey predicte! d that real GDP will grow at a pace of 2.9 percent in the second half of this year. It seems that the recovery is coming also into housing market. Investment in the residential market is expected to bring growth. Approximately 75 percent of respondents think that house prices will reach a bottom this year. The survey proved that high prices of houses will not affect negatively the sector's recovery. The survey predicts that the unemployment in USA will rise to 10 percent at the beginning of 2010 and at the end will come down to 9.5 percent. Forecasters do not expect the labor market to regain the jobs which were destroyed in the recession until 2012 or even later.

related story (sgx15601): http://www.newsweek.com/id/208633...

by Mag! dalena Rosova for PocketNews (http:/ /pocketnews.tv)

PocketNews is a new real-time news broadcaster delivering the latest and hottest news right to your pocket ! With global clients who want to be kept up to date, PocketNews is everyone's way of keeping in touch with the World.

posted by Blog TechSource @ 1:12 PM