Paul Krugman, and Michael Spence, both Noble Prize winning economists, are both predicting the chance of another global recesssion is 50%. And, Charles Evans, President of the Federal Reserve Bank, expects we will not "technically" be in a recession, but it will feel that way, due to persistant high unemployment.
And, while Krugman praises Obama's praises President Obama's plan for being "bigger, and bolder" than he expected, he believes there is zero chance the Congressional Republicans will allow it to be passed, so he believes unemployment will be higher next year than it is now.
Harry Bradford, of HuffingtonPost, writes, Paul Krugman: 50 Percent Chance Global Economy Will Enter Recession
Even though Obama's jobs plan is "bolder and better" than Paul Krugman expected, the Nobel-Prize winning economist still told Bloomberg Television on Friday that it might not be enough to stave off global recession.
The risk of global recession is "quite high, maybe 50 percent," Krugman told Bloomberg. He added: "The risk of something that feels like a recession is much higher than that. My central belief is that we're likely to have higher unemployment a year from now than we do today."
Krugman said that while Obama's plan "could make a noticeable difference to the economy," Republican opposition to the President's proposal, on top of the euro zone crisis, still makes recession a substantial possibility.
Krugman get's even more dramatic in criticising Republican obstruction below the fold.
Here's the quote many of you will enjoy, and that we should be putting into political circulation the best we can. Republican obstructionism, and unwillingness to help Democrats improve employment, and the economy should be one of our major themes in the 2012 elections.
"The chance that it's not going to actually be enacted by Republicans is 100 percent, I think nothing will pass," Krugman said. "I believe if Obama proposed that we honor motherhood, Republicans would vote it down."
Until, we can get these negative, and destructive GOP obstructions out of the House and Senate, we may continue to have a dysfunctional government, unable to protect and server our common and greater good.
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And, in other news, today, the Dow Jones Industrial Average dropped 2.7% apparrently on fear that Greece may default over the weekend.
Hibah Yousuf, of CNN Money, writes Deepening fears about Europe sink stocks
NEW YORK (CNNMoney) -- Stocks ended sharply lower Friday, as bad news out of Europe kept piling up. The sell-off triggered the sixth weekly decline in seven weeks for the Dow and S&P 500. ... Selling gained momentum in the afternoon as investors also grew increasingly concerned about a possible Greek default.
The Dow Jones industrial average (INDU) tumbled 304 points, or 2.7%. At its lowest points, the blue chip index was down 359 points.
The S&P 500 (SPX) slumped 32 points, or 2.7%, and the Nasdaq composite (COMP) lost 71 points, or 61 points, or 2.4%.
"There's a lot of nervousness that Greece could default this weekend, and Greek bonds yields keep rising," said Joe Saluzzi, co-head of equity trading at Themis Trading.
I'm down in central PA, on vacation, where we are coping with surprise flooding, from rainfall from Tropical Storm Lee, which tracked all the way up the Susquehanna River basis across several states, leading to the 5th worst flooding around Harrisburg, in over 140 years. We've had five fatalities in this area.
My family is safe, but my return to Massachusetts, has been delayed until later this weekend.
Hope you all are safe.
Cheers.