– News from elsewhere covered by Quincy Quarry News with commentary.
The next recession will probably start much like the last one did.
The U.S. economic expansion is approaching its eighth anniversary, prompting at least some investors and economists to worry that the recovery might be a bit long in the tooth.
To this point, Quincy Quarry found a surprisingly accessible tract on what the Dismal Science suspects is likely to happen when the current economic recovery finally runs out of steam.
In brief, the expectation is that the next economic downturn will be triggered by irrational exuberance in undertaking too much speculative debt and then the underlying speculations imploding as was the case with the Crash of 2008.
Quincy Quarry finds this assessment compelling.
Wicked compelling as a matter of fact.
At the same time, neither this assessment nor the Quarry are prepared to project when things will be hitting the fan as endearing to predict crashes is, well, all but a fool’s errand as the history of crashes shows that crashes happen.
The Quarry would, however, like to note how the Koch Maladministration in Quincy’s City Hall has more than tripled the city’s debt load as well as has increased city spending at over twice the rate of inflation during this its ninth year in office.
That and how the Koch Maladministration is planning to keep on racking up record setting levels of local municipal debt as well as do the same with the City of Quincy annual budget spending.
So what, apparently, for the further fact that the City of Quincy’s employee pension fund is even more seriously underfunded than the woefully underfunded MBTA employees pension fund.
But don’t worry, be happy: the Koch Maladministration has it all under control …
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