Economy may trail markets in recovery

Economy may trail markets in recovery

While some believe that the financial markets may have seen the worst of the subprime credit meltdown, the worst may be yet to come in the ‘real’ economy. There’s an article worth reading in today’s WSJ that touches on how the economy may trail markets in recovery.

Economy May Trail Markets in Recovery

Basically, the impact of the loss of household wealth in the form of rapidly declining home values coupled with the impact of banks tightening their lending and new construction all but dead will continue to limit economic growth.
Economy may trail markets in recovery

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