ECONOMY

  • Gas prices will reach a low of $1.40/gallon and then begin a sharp rise in the summer based both on increases in the gasoline tax and increases in demand.
  • Energy efficiency will be the mantra of US car companies and they attempt to re-invent themselves with the help of taxpayer money. Development and production of more efficient vehicles will begin.
  • The stock market will rally in January and February, decline in the spring and rebound by the end of the year. The Dow will break 10,000 by year-end.
  • Unemployment will rise to to a national level of 8.8% by mid-year and will decline to below 6% by year-end.
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