By Dave Lindorff
Amid the news that retail sales have fallen for the fourth straight
month, that housing prices continue to slump, and that another 600,000
workers were laid off in the month of January—the largest number in one
month since 1974—comes word from some experts in the business community that things are not going to be getting better soon, and that when they
do, they will not get back to the way things were in 2006 or early
2007, before the recession began.
In an interview I did for the trade publication Investment Management Weekly
on Thursday, Putnam Investments’ global asset allocation head Jeffrey
Knight said that while the stimulus could “help to prevent a Great
Depression sequel,” at the same time “Those who measure prosperity
against the Faustian opulence of the last 10 years may find that
stability, equilibrium and even recovery will still feel like a deep
depression.”