More straight talk from an old hand in the building sector:
"Billionaire investor Eli Broad said the U.S. economy is in the "worst period” of his adult life as a housing market recovery remains "several years” away.
"This is worse than any recession we’ve had since World War II,” Broad, 75, said in an interview yesterday. Broad, the founder of homebuilder KB Home, said the U.S. should avoid a depression on the scale of the 1930s because the country now has sufficient "safety nets.”
The economy expanded at an annual rate of 1 percent in the first quarter, the Commerce Department said last week. That caps the weakest six months of growth in five years. The U.S. lost 49,000 jobs in May, when the unemployment rate rose to 5.5 percent, the fifth straight month with a drop in payrolls and the biggest jump in the jobless rate in more than two decades.
"This is the worst period of my adult lifetime,” Broad said, speaking about the U.S. economy. "I do not think things are going to get any better” before the next president takes office in January.
Check out that chart in the background — Ouch!
Broad Says Economy in Worst Slump Since World War II
Anthony Massucci and Erik Holm
Bloomberg, July 1 2008