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Forecaster: Fear Paving Way to Economic Recovery

Published Monday, January 25, 2010

U.S. policymakers’ hasty comparisons of the unfolding recession to the Great Depression in 2008 triggered a panic that virtually halted discretionary spending by consumers and businesses alike, according to James Paulsen, chief investment strategist at Wells Capital Management. “This country developed a culture of the second coming of the Great Depression faster than I remember in any past recession,” Paulsen told business leaders at a forecast gathering Jan. 21 in Austin, Texas. Paulsen keynoted the event, hosted by Austin-based economic development advisory firm AngelouEconomics. Too many bad loans, excessive consumer debt, unemployment and other economic factors ...

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