The L-shaped Recession

Never mind all the talk of a V- or even a U- shaped recession: what's in store for the U.S. is a protracted period of economic stagnation and decline. In an article entitled "Recession 'shape' points down", W. Joseph Stroupe, editor of GlobalEventsMagazine.com, calls this an "L-shaped" recession and his logic is compelling. He believes that America (and Britain too) are currently engaged in the futile process of trying to re-ignite the asset bubbles that have led us to our present, pitiful state. He doubts--as do I--that their efforts will succede, but even if they do, they will only succede in creating a still worse crash down the road.

His own magazine is available by subscription only, but this particular article can be read free of charge at Asia Times Online:

http://www.atimes.com/atimes/Global_Economy/KE22Dj02.html

(Asia Times Online, by the way, is probably one of the best sources on the web for in-depth analysis of economic and geopolitical events. I highly recommend it.)