How to get ready for the economic recession coming in 2017
Posted by admin on 30th December 2016
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My outlook for 2017 and beyond is that the U.S. economy will likely see another recession.

Yes, the economic picture currently looks wonderful. The Dow and S&P 500 are at record levels. Unemployment is well below 5 percent of the labor force. Inflation is still tame. The U.S. dollar is strong.

The U.S. economy has grown dramatically over the long run. GDP has increased by one-third since the beginning of the 21st century, even after adjusting for inflation.

However, capitalist economies do not simply grow steadily larger. Instead, their long-term growth is periodically punctured by downturns.

The record of all economic ups and downs over the last century and a half shows the U.S. economy has experienced 33 recessions. This means recessions occur roughly once every five years.

Our present economic expansion has lasted far longer than five years. The Great Recession ended in June 2009, about seven and half years ago. Even though many indicators look amazing today, if history is any guide, we are due for another economic downturn.

In which case, it’s a good time for a primer on recessions and how to prepare for them.