Posted on 08/16/2007 6:43:15 AM PDT by Hydroshock
LONDON (CNNMoney.com) -- Treasury Secretary Henry Paulson said the current turmoil in financial markets will slow economic growth but should not spark a recession, according to a report published Thursday.
Paulson told the Wall Street Journal that the turmoil "will extract a penalty on the growth rate" of the U.S. economy, but that "the economy and the markets are strong enough to absorb the losses" without triggering a recession.
Treasury Secretary Henry Paulson expects the current market turmoil will slow U.S. economic growth, but he doesn't see a recession occurring.
Paulson, the former CEO of Goldman Sachs (Charts, Fortune 500), also told the newspaper that some funds or businesses may go under as the markets adjust, but that he expects the U.S. economy to keep growing.
(Excerpt) Read more at money.cnn.com ...
He’s paid to say that. Past history would indicate we have crossed all the lines to get to a recession.
And it is all George Bush’s fault.
DUH !!!!!!!!
I’d be surprised if there wasn’t a recession in the next 3 month.
This market correction is to reposition the market to exploit the Bolshecrat policies. The market has decided that the Bolshecrats will take over the government. The economy works on how fast the dollar circulates not on how many there are. The Bolshecrats will take more dollars out of circulation faster and spend it in less productive areas. My advice is buy Ripple not Korbel.
He’s right...we’re not heading for a “recession”, we’re heading for a “depression.”
It’s impossible to have a recession in three months.
you can even have one at once.
I’m much more sanguine than Paulson.
Sure 3 to 6 million people are going to lose their houses, but that just means they’ll squat for a few months then go rent. The net effect could be more disposable income and hence more spending.
You are apparently unaware of the definition of a recession.
Just a week ago he was telling us the subprime mess was contained. Why should we believe him this time?
We can at least agree on this.
I am always amazed how much arrogance the anonymity of the internet brings forward.
Yes, Recession may start at any given moment.
Just because most definitions (yap there’s more then one) attribute this term to a 3 quarter duration of receding BIP - this duration certainly may start at any given moment.
Certainly you can only speculate on recession by the time it beginns but looking at it in retroperspective you could very well say after the quarterly results from Q2 07 the recession started.
It doesn’t make much sense to say we had 3 Q of falling BIP and now we come into recession because obviously the prolonged period of falling BIP started with the very first day the BIP fell and not with the first day of Q3.
And what was it you wanted to teach me on recessions ?
Got it ?
The fact remains that you can’t have a recession in only three months.
Do you have a point ?
Paulson, Bernake and Poole. We need the best and brighest and instead we get these twits. God help us all.
Agreed, and we also need someone who will honestly level with us. I look at what is going on and what I can gleam, and I know I am being played. Just not sure to what extent.
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