The emergence of China as an economic superpower

There are several different point of views of U.S. economy among economists about what will happen next year.

The first, U.S economy is fine. The Fed’s policy-makers won’t have to do anything--just let the economy slow to its desired level.

Second, the free-fall of the housing market would bring the United States into a great recession. Ben Bernanke, the Chairman of the Fed, would scramble to avoid a full-scale recession by dropping interest rates.

The third, that inflation is already out of control, the Fed has to keep pushing interest rates higher. A recession may be the price paid by the U.S. and the world.

Hmm… I think it will be fine.