Morici one of first senior analysts to admit U.S. faces 1930’s style collapse
Paul Joseph Watson
Monday, January 12, 2009
Professor Peter Morici, a former chief economist at the U.S. International Trade Commission, has become one of the first senior economists to admit that the U.S. is facing a 1930’s style depression.
Noting that 2.6 million payroll jobs have been lost since December 2007, Morici told financial publication Kiplinger that a 5 per cent contraction in the fourth quarter made the crisis “worse than a recession”.
“The economy will not recover without fundamental changes in banking and trade policy,” said Morici, an economics professor at Maryland University, “A large stimulus package, though necessary, will only give the economy a temporary lift,” he added. “The economy is in a depression, not a recession.”