This morning I read a piece by Nouriel Roubini, professor of economics at the Stern School of Business at New York University, that was astounding. If you think the economy is going to turn around anytime soon, you are mistaken. Above, I’ve linked to Roubini’s entire piece and I recommend you read it. In the meantime, here are a few highlights:
…We can expect that job losses will continue until the end of 2010 at the earliest.
While the official unemployment rate is already 10.2% and another 200,000 jobs were lost in October, when you include discouraged workers and partially employed workers the figure is a whopping 17.5%.
…If you are unemployed and looking for work and just waiting for the economy to turn the corner, you had better hunker down…. The jobs just are not coming back.
Based on my best judgment, it is most likely that the unemployment rate will peak close to 11% and will remain at a very high level for two years or more.