Nation will avoid recession, economists say

January 9, 2008
The soft economy might feel like a recession, but isn't, and conditions won't deteriorate into a recession.

That's the take of 62 economists surveyed by Bloomberg from Jan. 3-8.

Their median estimate predicts the economy will grow 1.5 percent through June, the slowest since the final three quarters of 2001.

One of the economists, Mickey Levy of Bank of America Corp., noted that consumer spending is holding up despite their worsening mood.

Growth is anticipated to reignite in the third quarter as the Federal Reserve cuts interest rates beyond expectations.

The median estimate said odds of a recession materializing in the next year are 40 percent.

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