Bannon&Co.

The Economy Watch

February 3, 2009

The tumultuous economy is a major issue these days, as everyone is well aware. Every day there are new developments and comments on the situation from a variety of perspectives. Much of the discussion focuses on a stimulus program currently being debated in Congress.

Bannon & Co. monitors what is going on in various media in efforts to best serve our clients. It occurred to us that not everyone has the time to follow the economic news as they would like. So we offer these links as to what strikes us as important and interesting perspectives as the Senate deliberates the program.

Bill Bannon

Geithner Needs to Show Banks Some Tough Love

Allan Sloan, Fortune magazine's senior editor at large, contends it's whether he'll have the juice -- and moral standing -- to fill his most important role: reassuring the public and the financial markets that someone in charge in Washington knows what he's doing.

Despite Federal Aid, Many Banks Fail to Revive LendingThis article in Washington Post says so far, it hasn't worked. Lending has declined, and banks that got government money on average have reduced lending more sharply than banks that didn't.

Ward Three Morality

David Brooks writes, "What you must realize, above all, is the rich no longer control the economy and its mores. Ward Three people do, and their rule has just begun."

Moody's Economist Has Become a Go-To Guy on Stimulus PlanA former adviser to GOP presidential candidate John McCain who advocates spending over tax cuts as the best way to deliver a quick jolt. His thoughts in this piece from the Washington Post are quite interesting.

Nationalize This

The Fed's embrace is suffocating AIG according to this piece from the Wall Street Journal.

I have fallen into recession's web of fear

Lucy Kellaway concludes "if banks' response to the current crisis is to stick bits of paper on fake trees, then the only rational thing for the rest of us to do is to surrender ourselves to panic" in this piece from the Financial Times

A Consumer Sentiment Study was conducted in November 2008, to see how the economy was effecting neighborhood areas served by several community financial institutions by Bannon & Co. Another study is being planned soon after the Stimulus Program is passed by Congress and signed into law to see if consumers' opinions have changed.

Click here for more information on how a Consumer Sentiment Study in neighborhoods served by your institution can provide key information to refine marketing strategies.

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Phone: 978.443.1830
Online: Bannon & Co. Website

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