While the world economy shows signs of gaining strength and the possible end of recession brought on by the subprime credit crisis, there are enough experts that anticipate a new collapse, writes AFP.
The hypothesis that a recession will return after an initial recovery was made by U.S. economist Nouriel Roubini, professor at the University of [...]
President Barack Obama warned on Saturday that it will take months for the U.S. to fully emerge from recession, even if data on gross domestic product showed that the economic decline was modest in the second quarter.
The U.S. economy has contracted in the second quarter with 1%, below estimates, as the decline of business and [...]
The unemployment rate in June passed the threshold of 10 percent in 16 U.S. states, while in Michigan the unemployment rate went over 15 percent. This is the first time a state has registered that high an unemployment rate since 1984, according to the U.S. Department of Labor.
In comparison, in May, the unemployment rate [...]
Former U.S. Treasury Secretary, Henry Paulson, said that “although our responses to the crisis have not been perfect, I believe strongly that they have saved the nation from a wide danger.”
“A lot more Americans would be now without jobs, business, economy and a way to live,” Paulson insisted, who has been accused in numerous occasions [...]
Vice President Joe Biden said recently that the Obama administration had underestimated how badly the U.S. economy was doing when it first took office.
Now, members of government are not optimistic. “I am skeptical regarding the impact of the program to stimulate the economy. I doubt that will produce something good, and if it will have [...]
Unemployment could continue to grow in the United States until 2010, according to a study of analysts conducted by Reuters. This will likely make the Federal Reserve keep interest rates unchanged through nest year.
Results of this investigation were made public after the Labor Department announced that the job cuts rose in June, more than was [...]
The Federal Reserve Bank has tried to hide the pressure it applied to Bank of America to buy the faltering investment bank Merrill Lynch, charged Darrell Issa of the House Oversight and Government Reform Committee.
The Fed has deliberately hidden in front of other federal regulatory agencies relevant details related to the merger, said Issa. Fed [...]
Citigroup has launched an exchange of shares worth 58 billion dollars, after which the U.S. government would get a participation of 34% in the third largest bank in the United States.
In the program, Citigroup will offer common shares in exchange for preferential securities of 33 billion dollars. Other preferential shares for 25 billion dollars, held [...]
The director of Budget Bureau from White House, Peter Orszag, said that U.S. economy is not in “free fall”, but not out of danger zone, Mediafax informs.
“Free fall of the economy seems to have stopped”, Orszag Peter said to CNN television. The U.S. economy, biggest of the world, went into recession at the end [...]
The ideal rate of interest for the American economy in the current conditions would be minus 5%, according to an internal study prepared for the last meeting of strategists of the Federal Reserve Bank, writes The Financial Times. The interest rate impacts home loans, credit cards, and more.
The analysis was based on an approach [...]
The banks from the United States and Europe would need $875 billion (675 billion euro) by the end of the year to return at a level similar to that in the years before the financial crisis. Double that amount would be needed to match the performance obtained in the mid ’90s, according to the [...]
