SCSU’s Banaian: Don’t Expect a Recession in 2022
A recession in 2022? St. Cloud State Economist and Dean, School of Public Affairs, King Banaian joined me on WJON today. He says there is no evidence of a recession in his mind in 2022. Banaian says 2023 is still a possibility. He says chances are if a recession happens it's because we have to hit the brakes much harder to prevent runaway inflation than we would normally do. Banaian says we're at least 9 months to a year away from a recession if one happens at all.
Inflation continues to cause increases in products across the board. Banaian says car prices and home prices are two of the big ticket items that continue to see large increases. He says the amount of homes on the market continues to be far behind the amount of interested buyers. Banaian says the expected increase in interest rates will change how home buyers view the amount of home they can purchase. He says the amount of house people can qualify for will change if the interest moves to 5 1/2 percent.
If you'd like to listen to my conversation with King Banaian, it is available below.