Economy: Recovery Sooner Rather Than Later?

Time for some good news for a change!

The economic recovery could happen much sooner—and be much stronger—than anyone thought possible.

Some economists are disputing the idea that the recession will drag on for months and that the rebound will be as weak as those following the the 1991 and 2001 downturns.

Among the reasons for the new optimism: a significant easing of the credit crunch, improvement in consumer spending, a potential bottom in housing, a less-grim jobs picture and expectations that the government’s massive stimulus spending could start boosting economic growth sooner rather than later.

The Economic Cycle Research Institute said the recession will probably end before the summer is out.

The research group, whose leading indicators have a solid track record of predicting turns in the business cycle, said enough of its key gauges have turned upward to indicate with certainty that a recovery is coming.

Even the Federal Reserve is signaling some optimism. After its regular two-day policy meeting ended on recently, the central bank said that weakness in in the economy appeared to be slowing.

What do you think? Do you feel a recovery is on the way “sooner, rather than later?”  We’d love to hear your opinion. Just leave your comment by clicking the comment link below and sound off.