David Levy: No Economic Recovery in Sight

Thursday, 28 Oct 2010 09:59 AM

By: Julie Crawshaw

David Levy, chairman of the Jerome Levy Forecasting Center, says there’s no economic recovery in sight.

The problem, says Levy, is that everyone’s saving rather than spending — and the combined deleveraging by consumers, banks, businesses, and state and local governments is hobbling the economy.

Instead of recovery, “domestic profits eroding, corporate earnings becoming increasingly disappointing, and a 60 percent chance of a recession in 2011â€