The International Monetary Fund, in its latest World Economic Outlook:
The global downturn guarantees that countries all over the world will be hit with extraordinarily high unemployment rates. And, with the tremendous number of unemployed people comes the possibility of political unrest.Bank of America reported significant earnings for the first quarter of the year, the Dow Jones index took a big leap last week, and as such the government announced the economy had bottomed out, turned a corner, and was in its way back.
Also rising crime as millions more are forced into poverty and out of their homes.
By any measure the downturn is the deepest since the Great Depression of the 1930s. All corners of the globe are being affected.
Don't believe it.
Those toxic assets are still on the bank books, and as long as they are there the banks are on the brink of ruin. That means credit will only be extended at a minimum, if at all, which translates into businesses without money, which leads to further unemployment.
I'm no economist. Far from it. But you can bet things will get worse before they get better.
