Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: GVTucker who wrote (47425)	1/29/2001 11:30:16 AM
From: Tulvio Durand	Read Replies (1) \| Respond to of 77400

... If a recession is in the cards, rate cuts won't stop it. If true, then its opposite must be true: rate hikes won't cause recessions. Most economists hold that the root cause of our present economic slide toward recession are AG's rate hikes in 1999 and 2000. Moreover economists are saying that it will take at least 1.5 points of rate cuts to stop the slide. There's no sense in parceling out 0.25 point cuts since time is of the essence in stopping the slide. In order to achieve the desired results faster the remaining 1.0 point cut should be enacted immediately. Even better would be a 1.5 point rate cut now followed by successive 0.25 point hikes on first evidence that GDP growth has exceeded target growth rate. This leading (anticipating) correction technique is well know in the stability and control engineering discipline. A basic course in dynamics of stability and control should be mandatory for all economists. Tulvio