An overheating economy to be cooled in 1989
Consumers are again responding to sales incentives after showing some hesitancy following the stock market crash of Oct 1987. The decline of the dollar has enhanced the competitiveness of US industry. These factors have combined to generate higher-than-normal expansion rates in the US economy, and there are signs that the economy is beginning to overheat. The next administration will probably embark on a budget deficit reduction program that will reduce economic growth, foster price increases, lower interest rates, and decrease the speed with which the dollar declines. The combined impact of budgetary restraint may create a recession in 1989. This recession could be avoided by slowing the growth of expenditures or accelerating productivity through capital expansion.
Publication Name: Business
Outlook for test equipment
Stocks of the test equipment industry are analyzed and evaluated by Gregory P. Konezny of U.S. Bancorp Piper Jaffray Inc. These companies make equipment for the field as well and R&D and manufacturing.
Publication Name: The Wall Street Transcript
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