Study: It'll take 11 1/2 years to regain jobs lost in this
recession    carolyn lochhead logo.jpg  Of course, the economy
could take off like a rocket as it did in the 80s and 90s, in
which case it might take “only” five years.  The projection is
right in line with warnings by economists Carmen Reinhart and
Kenneth Rogoff about the aftermath of financial crises in their
groundbreaking “This Time Is Different: Eight Centuries of
Financial Folly.” See their update here.  Also of note: soaring
government debt and often default is another common theme after
a financial crisis.  From Reinhart on the international
experience with episodes of severe banking crises:  ? Financial
crises are protracted affairs. ? Asset market collapses are deep
and prolonged.  ? There are profound declines in output and
employment.  The unemployment rate rises an average of 7
percentage points over the down phase of the cycle, which lasts
on average over four years. Real GDP per capita falls (from peak
to trough) an average of over 9%,