I receive periodic letters and reports on the economic and investment climate from many sources. Many of them I have learned simply to discard, but others I read carefully. One of the latter is from an investment manager at Northern Trust. His letter of April 10 includes this passage:
We believe [the US] governments' (sic) aggressive monetary and fiscal stimulus programs will restore positive economic growth at some point during the second half of this year. We also acknowledge that the longer-term consequences of these programs are grave, and to the extent these programs are not unwound in a timely and successful manner, they may become the source of future economic distress. Nonetheless, these massive governmental interventions were and remain necessary given the past 20 months' precipitous collapse in global commerce and credit.