Puerto Rico Economic Pulse ©

October 2001: The Mirror has Two Faces: Part II United States

Understanding the economy before and after September 11, 2001

The September 11th attacks were the last straw that broke the tenuous growth of the US economy at the time. Although a US recession could have happened even without the attacks, now it is unavoidable. The good news is that it is expected to be a short one, not more than two quarters. How will the Puerto Rico economy react? Is it unreal for the Island economy to escape the aftershocks of US and global recessions? As we saw in our August issue and prior to the attacks, the Island economy was already experiencing an economic slowdown. Discover what we view as the correct perspective to avoid a rush into panic resulting from a deepening of the downturn. Find out whether the economic and fiscal stimulus both in the US and PR can pull through.