The U.S. economy is in a depression, a University of Maryland economics professor contends. Professor Peter Morici, a former chief economist at the U.S. International Trade Commission, said the American economy is officially in a Depession.
"The economy contracted at about a 5 percent annual rate in the fourth quarter. This looks worse than a recession to me," he said.
Among other factors, Morici noted 2.6 million payroll jobs have been lost since December 2007, the dollar is falling value and the nation has a big trade deficit with China.
"The economy is in a depression, not a recession."