Why US hopes for a quick economic recovery from the coronavirus are pure fantasy

As protests roil the United States, the country’s centre-left ­economists gaze brightly into their crystal balls. Harvard ­University’s Jason Furman, formerly chair of US president Barack Obama’s Council of Economic Advisers, expects the best economic data in history to emerge just before the presidential election. Paul Krugman is likewise predicting a “fast recovery”. The non-partisan Congressional Budget Office agrees. The stock market seems equally optimistic.The arithmetic behind this…

Read the original article at South China Morning Post