Monday, August 28, 2006

$100 oil = recession? 

That's the opinion of a survey by the National Association of Business Economists' policy panel (I am one of the 195 respondents to the survey.) Here are some additional details from the survey:
More people thought monetary policy currently was just right than too loose or too tight. Wide margins thought government spending and taxation would rise at rates about the rate of inflation. (I wish they would ask that as rate of inflation plus rate of population growth, so we could interpret the answer as saying the size of government will grow or shrink.)

Top three answer to "what do you think is the US's greatest economic strength today": flexible economy and labor force; technological lead and strongh productivity; deep capital markets.