a UCLA Anderson forecast says the nation and state will be saved by some apparent weak spots in the economy.
Real estate crash or not, the U.S. economy and California will escape recession in 2008, a UCLA study released today predicts.
Despite rising oil prices, sinking housing prices and a turbulent stock market, the national economy will be saved by some of its apparent weak spots, the quarterly UCLA Anderson forecast stated.
What's the good news?
* The loss of 3 million manufacturing jobs early this decade means there is little room to cut more positions.
* Most of the damage to the economy from the housing slump will be over by the end of next year.
* The weak dollar will help U.S. exports, aiding manufacturers in Southern California.
* Consumer spending will drop, but much of the effect will be felt by other countries as U.S. imports of their products decline.