Will We Be Hit with a Double Dip Recession?

By Gerard Lameiro

This week an op-ed piece in The Wall Street Journal discusses the real possibility that we might face a double dip recession. While many optimists have been claiming that the recession is over and that the economy is looking up, the stock market has been taking investors for a wild ride. Plus, over 17% of Americans are still unemployed or underemployed. Is the economy on its way to a healthy recovery? Or, are we headed instead for a double dip recession? On the plus side, The Wall Street Journal this week also reports on declining mortgage rates that might fall to 4.5% this summer. This is great for consumers that need a new mortgage or who might want to refinance their homes. Interestingly, this mortgage rate drop comes as a result of money from outside the U.S. that is seeking the safety of the U.S. economy. So, money has been flowing into U.S. bonds. While America has its own significant economic problems, we still look a whole lot safer than those European welfare state economies on the verge of potential or technical bankruptcy. [more...]