Archive for May, 2012
In his latest white paper, “Global Economic Round-Up”, NAI Global Chief Economist, Dr. Peter Linneman, evaluates the state of the global economy in Europe, Asia and the United States including the impact of the continuing European debt crisis, the rise of China and India and the current state of the U.S. economic recovery.
“The global economic recovery has been hindered by a massive game of Old Maid. Who will be forced to bear the losses generated during the downturn? Only when the losses are put behind us will the world be able to focus on creating new wealth,” said Dr. Linneman. “There is simply not enough European bank capital to cover the losses associated with Greece and any defaults by Spain, Portugal or Italy.”
On the U.S. economy, Dr. Linneman notes that “everyone, including bearish forecasters, has been shocked by the weakness of the recovery to date. Absent a predictable government, the U.S. has slipped into the abyss which has long punished countries such as Japan and Italy.”
The white paper addresses the future of the Euro, the rapid growth and rising vulnerabilities of the Chinese and Indian economies, and the potential for long-term economic malaise in the United States absent leadership from any branch of the U.S. government.
Global Economic Round-Up follows European Debt Crisis where Dr. Linneman analyses the European sovereign debt crises and the impact of a default on the Euro Zone countries and banks. NAI Global’s white papers and research resources are available for free download by clicking here.