Is the recession over? Watch

PoliceStory
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#1
Report Thread starter 9 years ago
#1
http://www.telegraph.co.uk/finance/f...h-returns.html

There's reports going around pretty much everywhere claiming the Keynesian economic stimulus has worked and we're now out of recession.

Were the libertarians screaming that we're doomed wrong? Or is there something being missed?
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Mr_K_Dilkington
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#2
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(Original post by PoliceStory)
http://www.telegraph.co.uk/finance/f...h-returns.html

There's reports going around pretty much everywhere claiming the Keynesian economic stimulus has worked and we're now out of recession.

Were the libertarians screaming that we're doomed wrong? Or is there something being missed?
Interesting fact: economics trends are quite long term things. It hasn't even been a year since the stimulus, so it's effects are impossible to know at the moment.

Austrians didn't say that it wouldn't do anything in the short term. In fact a lot of them said it would do just this - promote a false recovery based on artificial stimulus which could not support the economy in a sustainable manner over a long period. From an Austrian perspective false money can be great (just look at the early-mid 2000s) in the short term. In the long run however it destroys wealth and sustainable growth however.

It's far too early to be making any serious conclusions of this nature about the stimulus package yet.
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jbanjeet
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#3
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#3
NO it's just the begining
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Aphotic Cosmos
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#4
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I wouldn't be surprised if it was, but there's still a lot of unemployed people out there, including nearly 1 million people aged 18-24.

The effects of the recession are far more long-term than the recession itself.
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Cj-Tj
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#5
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No, not at all. The flows of free money cant last forever, the US Fed has put $10,000 for each American into the system. Its hardly sustainable. People are still being made unemployed. Indicators like the Baltic Dry Index which measures shipping costs still point the recession being far from over. Equally the stock market is still in (IMHO) a dead cat bounce, and has another serious drop coming before we come out the recession properly.

The problem is that there has never been such a global response to the recession before, so nobody really has a clue. All we can do is look at the indicators and guess.
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technik
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#6
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The money will need paid back. The next decade is going to be long and hard for a lot of people
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tomato_ketchup
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#7
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#7
my wallet is saying no.
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Ipso Facto
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#8
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According to the statistics we're out of recession. But the effects will last for a lot longer- unemployment should continue to rise for another year or so before falling as the economy improves, demand increases, and employers delve into the labour market.
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jacketpotato
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#9
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I imagine that growth is likely to improve - the banks are starting to become more confident and are lending again. You can couch it however way you want, but the stimuluses have been effective. I know that a lot of the London law firms which advise the banks are starting to see better results. Rumour has it that even Real Estate is seeing the odd deal done.

However we are still likely to see increasing unemployment.
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