Economist sees another very good year

GRAND RAPIDS, Mich. - At first thought, receiving a report card showing Junior is not performing quite as well as he has been might seem discouraging. But everything is relative. When David Allardice, branch manager and senior vp of the Federal Reserve Bank of Chicago: Detroit Branch presented his version of the nation's economic report card at the Michigan Credit Union League convention, a glance at what might be his teacher's comments revealed a lot of praise: * "Are we optimistic? Yes. We're on the path to get out of 2000 with a positive performance, and 2001 is still salvageable." * "The economy is moving perhaps not as well as it has been, but very well for 2000 and on into 20001." * "We're in the longest sustained period of economic growth in history. It's extraordinary. Clearly we are the envy of the world." * "Job growth has been just splendid. The only problem is we are running out of people to fill jobs." * The real GDP growth of 5.4% so far this year is "splendid, but historically inflation will come. We're not sure when." * Unemployment is at about 4%, an "extremely excellent performance." Both Michigan and Detroit are posting unemployment rates well below the national average, again "a very good performance." * The NASDAQ has lost value, "but maybe it's moving down to a sustainable trend." Allardice did call attention to some at least slightly disturbing questions. Will productivity growth, which has been so positive, moderate? Do rises in the Consumer Price Index and commodity prices signal inflation ahead? Does the yield curve and the real GDP signal a recession starting perhaps in March, 2001? But overall, he's obviously still keeping the economy on the honor roll. -ECour58516@aol.com