No “New Normal”, but More Frequent Recessions, Says Top Forecaster

Lakshman Achuthan, managing director of the Economic Cycle Research Institute, says the U.S. economy will not enter a “new normal” of slow, anemic growth, but also says we’re headed for a period of more frequent recessions and “chronically high” jobless rates. Achuthan, whose group has a strong track record of forecasting economic movements, also tells Bloomberg that the near-term outlook for the economy is good, with no “double-dip” recession being imminent. And, he talks about the impact that more frequent recessions will have on buy-and-hold investors.