Postive Outlook

Goldman's Top Economist Explains The World's Most Important Chart, And His Big Call For The US Economy by Joe Weisenthal

(via DeLong)

So if the Fed gets better at policy like adopting an Evans Rule and then later NGDP level targetting we could get better demand management. The private sector will deleverage and housing construction should spur more employment and demand next year. Late 2013 could be better than the tepid growth we've had since the collapse of the housing bubble.

The open question is whether we get another bubble having forgotten the most recent one.