Why US may get into near recession again
The US unemployment continues to be very high at near 10%, while the housing sector is not reviving at all despite the special efforts and schemes by the government over the last two years.
Add to this the problem of very high trade deficit the country is running. Today the US debt is far higher than what the country can afford, and it is only a question of few more months before the government is forced to tighten the spending.
That would mean major cut in employment and other benefits to millions of government sector employees. And the European and Japanese governments are already into major deficit cutting mode which in turn could cut down the exports out of US.
Nothing seems to be going right, and expect US to get into recession in the next few quarters, if not early.