IMF: Turnaround 'will not be simple'

BBC NEWS | IMF: Turnaround 'will not be simple':

The recession had "left deep scars, which will affect both supply and demand for many years to come" said IMF chief economist, Olivier Blanchard.

His comments came after Japan this week followed France and Germany is seeing their economies return to growth.

In this latest report, Mr Blanchard predicted that global output may also remain lower than it had been before the crisis.

Countries must rebalance their economies to make it sustainable, Mr Blanchard said.

Economies dominated by consumption - such as the US - would have to focus more on exports, while Asia turned more to imports, he said.

In other words, the turnaround hinges on Indians lining up to buy Fords?

Seems like he told us to curb our enthusiasm, but the press tells what the public wants to hear:

Income Equality "Truly Amazing"

Income Inequality Is At An All-Time High: STUDY

As of 2007, the top decile of American earners, Saez writes, pulled in 49.7 percent of total wages, a level that's "higher than any other year since 1917 and even surpasses 1928, the peak of stock market bubble in the 'roaring" 1920s.'"As of 2007, the top decile of American earners, Saez writes, pulled in 49.7 percent of total wages, a level that's "higher than any other year since 1917 and even surpasses 1928, the peak of stock market bubble in the 'roaring" 1920s.'"

On his blog, Nobel prize-winning economist and New York Times columnist Paul Krugman called the numbers "truly amazing."