MINNEAPOLIS (WCCO) — Just a week ago the experts said if the US Congress failed to raise the debt ceiling the stock market would certainly crash and ratings on US debt would almost certainly be downgraded.
Congress did, in fact, raise the debt ceiling, but the stock market still crashed, US long-term debt was still downgraded and there is now widespread talk of an historic double-dip recession. According to a CBS News survey, Congress’s disapproval rating is now at a record 82 percent, with more Americans, by a narrow margin, expressing displeasure with the Republicans handling of the crisis than Democrats.
It is a week that has sent the nation reeling, and the question now is: How many years, not months, before a real economic recovery happens?
Since the 1970s, housing booms have lead the nation out of recessions, but this is a far deeper recession than any in the past two generations. Moreover, the housing market shows no sign of recovery.
It is a grim point indeed. The nation has been brought to its knees by a drawn out debate on paying its own debts, an economy tanking once again and no seemingly easy way out of the situation. America is a resilient nation, but the current crises, at least this week, are among the most crushing in recent memory.