US may have decade-long recesssion

Washington, May 12 (Prensa Latina) The US Nobel laureate in Economy Paul Krugman said his country could confront a decade of zero growth if more aggressive incentive measures are not employed informed Economy Nobel laureate, Paul Krugman.
Another Nobel personality, Joseph Stiglitz, also predicted recently that the US economic crisis will be long lasting.

Krugman pointed out that the aid approved by Washington will only be token for the economy of the first world power, and will not achieve total recovery.

The Nobel prize winner said that the United States is following Japanese methods from the 90s, helping banks survive without any intent of true prosperity.

For these reasons, Krugman pointed out, there is more possibility that the US economy together with the Euro region will suffer at least 10 years without growth, which justifies an emergency stimulus plan, he suggested.

Referring to the capacity of the main 19 banks to confront a possible worsening of the recession, he pointed out that there is no real indication they have sufficient capital to carry out their role.

He considered that the test recently applied to those institutions is a mere excuse to give more time to the Barack Obama administration to confront the crisis.