"You've got the economic stimulus package, President Obama's mortgage package he introduced (Wednesday), and a lot of people are starting to say the housing industry will start to bottom out in 2009," said Jack Kyser, one of the authors of the report from the Los Angeles County Economic Development Corp. "We are looking for some improvement; it's going to be modest improvement."
The LAEDC's 2009-2010 Economic Forecast & Industry Outlook shows negative trends in most business sectors with some key industries, including fashion, entertainment and finance, facing changed business models. According to the report, there are "difficult times ahead for the nation, the state and Southern California through most of 2009." The report shows the economy finally reaching bottom by this summer.
The official start of the recession was December 2007, which would make the downturn between 19 and 21 months long if the report's authors are correct that the slide will halt sometime this summer. That would make this the longest downturn since World War II. Furthermore, the report projects the U.S. economy will shrink by 2.9% during 2009, then experience modest 1.5% growth in 2010.
Recommended For You
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
