After healthy growth in 2010, thanks to the temporary government stimulus, the economy plummeted in 2011 but is has been creeping up from the pit of the 1st quarter. Will the upward trend continue?
I am not an economist but I believe the basic elements required for strong growth are missing: We do not have a surge in exports and we do not have increases in wages and the standards of living which would de-leverage the American consumer and stimulate internal consumption.
Then if we add to that the dismal political atmosphere in Washington, we must come to the conclusion that growth will remain anemic throughout 2012.
New Jersey will continue to lag behind the nation due to its enormous political overhead and antiquated tax laws. The number of foreclosed homes and high property taxes will continue to hinder the revival of the housing market.