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Bonddad Isn't An Economic Historian

The things he's talking about are short-term indicators.  And things are looking up short-term.  But this is not your father's recession, it's your grandfather's Great Depression, which means that false dawns are to be expected as the long decline continues.

We could luck out and avoid all that.  It is theoretically possible.  But not very likely.  We're set to stop stimulus spending, when Obama's already admitted they underspent on the original.  The states are going to be cutting their budgets for some time now.  There's a whole new wave of foreclosures coming, and there's all sort of bad debt the banks are holding onto, just hoping it will turn good somehow.  With consumers over-leveraged, and trying to pay off their debts, no one's sure just where the long-term demand to drive a sustained recovery is supposed to come from.

Other than that, Bonddad looks to be on solid ground.

"Senate passes expanded GI bill despite Bush, McCain opposition"

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by: Paul Rosenberg @ Sun Jun 28, 2009 at 16:49:07 PM CDT