By Evelina M. Tainer, Chief Economist, Econoday
6/8/01

Economic indicators were in short supply this week and the few there were didn't reveal anything new about the economy. Federal Reserve Governor Laurence Meyer addressed a New York economists' group this week and told them that the economy was in a growth recession. While Meyer stressed the fact that he was giving his own views and not speaking for the FOMC, it was indeed unusual to see a Fed governor give an economic forecast. Meyer was more balanced than usual, making less mention on the potential for inflationary pressures and discussing economic growth issues at greater length. Anthony Santomero seemed to echo Meyer's remarks on Friday when he also indicated that the economy would return to its potential growth in 2002. Santomero, president of the Philadelphia Fed, indicated that the Fed would need to ease further, but "carefully."