Sunday, January 10, 2010
A New Depression
Defaults and repossessions have been running at over 300,000 a month since February. One million American families lost their homes in the fourth quarter. Moody's Economy.com expects another 2.4m homes to go this year. Taken together, this looks awfully like Steinbeck's Grapes of Wrath. The stock market has become a lagging indicator. Tear up the textbooks.