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Leading U.S. economists have projected a deepening crisis

According to two well-known American economists, the financial crisis will worsen, will continue to put pressure on prices in the housing market in the U.S. and increase in unemployment to 11%, said on 5 January Reuters.

Reynhart Carmen (Carmen Reinhart) from the University of Maryland and Kenneth Rogoff (Kenneth Rogoff) from Harvard believe that the housing market will reach bottom sooner than 2010, and this is a bad omen for banks, the total volume of mortgage loans in which trillions of dollars.

In a joint report to the the annual conference of the American Economic Association (American Economic Association), and Reynhart Rogoff said that despite the efforts of governments and financial authorities of different countries, the measures only limited effects of the largest credit puzypya in modern history.

“Some central have demonstrated aggressive action, which was not in the 1930’s – they said. – On the other hand should not dig, and believe that we are smarter than their predecessors “.

Studied their examples, including the rich countries such as Sweden and Japan, as well as developing countries such as Malaysia and Thailand, have shown that in four years, unemployment has risen by an average of 7%. Given the fact that unemployment in the U.S. reached a bottom in late 2006, when it stood at 4.6%, its highest level will exceed 11%.

Another forecast, made in their study of the explosion of public debt.

“Двигателями increase in debt is an inevitable collapse of tax revenues due to the profound and long-term reductions in production volumes, as well as ambitious financial and political decisions aimed at curbing the decline” – believed Reynhart and Rogoff.