News

Recession Briefing 4.2

What you need to know today to survive and thrive in the recession.

Encouraging signs today: U.S. car sales jumped by nearly 25 percent last month from February, beating the typical rise, there was a rebound in pending U.S. home sales in February from a record low, and manufacturing activity is improving. (AP)

“Dr. Doom” economist Nouriel Roubini writes that there is a dim light emerging at the end of the tunnel: “Compared with the sharp contraction in U.S. and global growth in the first quarter of this year, the rate of economic contraction will slow down for the U.S. and other advanced economies by year-end … with a very weak and tentative recovery by 2010.” (Forbes)

Leaders from 20 industrialized nations met in London today to discuss strategies for spurring economic recovery. Negotiators from the United States and Europe worked frantically to hash out an agreement on new regulations. (New York Times)

A new poll is finding that the recession is also taking an emotional toll on anxious Americans. Many are putting off big-ticket spending while also cutting out everyday indulgences such as dining out. (Washington Post)

Joyce Wadler writes that “It may be instructive — both in terms of offering helpful hints and putting things in perspective — to look at how people ran their households during the Great Depression.” (New York Times)

The U.S. government may give subsidies of as much as $5000 to people who trade in their old cars for newer, more fuel-efficient models. The program, however, could be very costly. (Los Angeles Times)

Artist Julian Schnabel’s ornate Palazzo Chupi apartment building in New York is suffering the effects of the downturn. Two of the five ultra-luxe multi-million-dollar units remain unsold and one was recently discounted by 30%. (Huffington Post)

A record high number of people are now claiming unemployment benefits. That number rose 161,000 to 5.7 million in the week ended March 21, the highest number since the government started keeping records in 1967. (CNN/Money)

Fairfield Greenwich, a “feeder” hedge fund tied to the Bernie Madoff fraud case, has been accused itself of fraud and of lying about the due diligence it performed. (New York Post)

How does this recession compare to the Great Depression? A study finds there is a “vast” difference between saying the current downturn is the worst since the 1930s and saying it’s as bad as the Depression. (New York Daily News)

If you come across a good article or blog post about the recession pass it on.

Tags: economy, Great Depression, roubini, The Unemployed Life