The Anderson Forecast was the first to predict the depth of the state's recession in the early '90s and the first to see light at the end of the tunnel in 1993. Not everything in the new report released was as chirpy as Thornberg's widely criticized appraisal. The more economically diversified southland will escape a recession, UCLA economists say. Probably not much, if recovery comes quickly. Housing is our major economic tie to the Bay Area, as in high prices there create what looks like a bargain market here.
Buyers here spur construction.
So far there has been no indication of a construction slowdown here, and price pressure remains high. If you want an indication of how fragile Wall Street is these days, consider just two incidents last week. On Monday, the Dow shrugged off earnings warnings from American Express and moved 113 points higher. Then President Bush took to the Rose Garden, stomped his feet and held his breath at the Chinese. The Dow went straight south, dropping 100 points.