An Assessment of the Economic Impacts of the September 11 Terrorist Attacks: Ten Tentative Conclusions
As the United States attempts to recover from the September 11 terrorist attacks in New York and Washington, D.C., an issue of increasing concern is the impact of these events on the U.S. economy. One of the most frequently asked questions today, for example, is "Are we in a recession or are we likely to enter a recession in the next few months?" It is impossible for anyone to give precise predictions of the impact of these events on the economy, but it is critical that the status of the economy be understood as future events unfold. This paper reviews some evidence on the state of the U.S. economy before September 10, the state of the economy after September 12, and the policy alternatives available to address the possibility of a recession during the coming months.
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