Latest recession different from 1990s - RLAM

Despite the fact this year looks set to be the worst for GDP growth since the early 1980s, and possibly the post-war period, there will be some positive news if the economy can free itself from the constrained credit conditions. Kernohan says: "The recessions of the early '80s and early '90s came about primarily as a result of very high inflation. The bad news is the current recession has not been caused by high inflation, but rather by a self perpetuating vicious spiral from bank losses to tighter credit conditions to falling asset prices to further bank losses and so on. It is this Gord...