Monday, 06 April 2020

20/20 Vision: Impending Economic Recession?

Written by Posted On Tuesday, 20 August 2019 04:15
recession 2020 recession 2020

The longest economic expansion in modern American history could come to a screeching halt right before the 2020 presidential election. However, unlike our last major economic downturn, this won’t be brought about by the housing market.

Banking On The Past

As previously discussed, the 2007 financial crisis was catalyzed by exploitative banking practices which involved deceptive housing market indicators and complete disregard for, admittedly, weak regulatory entities. Nonetheless, as of 2009, there’s been an economic expansion that has become the longest on record, which has seen America’s unemployment rate at a half-century low and subdued inflation as well.

The problem lies with the sustainability of this growth. After all, despite America’s economic expansion lasting well into a decade, it has also been the slowest and smallest when compared to previous periods of economic growth. Even when considering the sugar-like rush brought by the 2018 tax cuts, which skeptics consider mainly benefited the nation’s corporations and its wealthiest citizens while boosting the national debt to a record $22 trillion in the first quarter, signs point to a worrisome end.

What Are The Signs?

Trade policy and geopolitical instability, particularly when it comes to the Sino-American trade and technology war, were considered main factors likely to trigger the next recession. That makes sense given how the conflict is escalating in several ways. For instance, President Trump recently announced plans to impose a 10% tariff on $300 billion of US imports from China effective September 1, 2019 which, unlike the previous round of tariffs, will target consumer goods, such as computers and smartphones. China retaliated by devaluing its currency, the yuan, to an 11-year-low and ceasing its purchase of US agricultural products.  Experts worry that China could also lash out by closing its market to US companies like Apple, which would further incite economic panic on a global scale, forcing multinational companies and entities to scramble in an effort to secure their supply chains.

recession 2020

With the current tensions already denting business, consumer, and investor confidence and slowing global growth, the more this retaliation escalates, the more likely another financial crisis would ensure, especially given the scale of private and public debt from both actors.

Housing Implications

Even if the housing market won’t singlehandedly incite America’s next financial fiasco, it certainly will not escape unscathed. Around 51% of housing expert panelists expect that home buying will be lower in 2020. Considering that Fannie Mae, the nation’s largest mortgage financier, is forecasting GDP will slow by almost 1% this year compared to 2018 and that in 2020 GDP growth is predicted to be at its slowest pace since 2009’s contraction, an economic decline could be on its way. All of which hints that our “20/20” vision may not be as optimistic as we had all hoped.

From the Trenches,

Roy Oppenheim

 

Oppenheim Law | Real Estate Attorneys
2500 Weston Rd, Suite 404
Fort Lauderdale, FL 33331
954-384-6114
https://www.oppenheimlaw.com/ 

Originally posted on: South Florida Law Blog 20/20 Vision: Impending Economic Recession? https://southfloridalawblog.com/20-20-vision-impending-economic-recession/

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Roy Oppenheim

From Wall Street to Main Street, Roy Oppenheim is a successful serial entrepreneur and attorney focusing on Florida real estate, foreclosure defense, loss mitigation and Internet ventures.

 

He founded Oppenheim Law in 1989 with his wife Ellen Pilelsky and uniquely positioned the Firm as one of Florida’s leading boutique law firms in Weston, Florida.

 

Serving national, international, and local clients, Mr. Oppenheim has the highest rating (A-V) conferred by Martindale Hubbell Law Directory, the most respected directory of lawyers and law firms in the U.S.

 

In 1989, Mr. Oppenheim also co-founded and served as general counsel to ShopSmart Corp., the company that originated and owned the GNC Gold Card Program, a program that continues to this day and was one of the first cross-promotional programs of its kind.

 

In addition, in 1994, he co-founded Weston Title & Escrow, the oldest title company in Weston, Florida, and he currently serves as its Vice President. In 1999, Mr. Oppenheim served a one-year term on the board of directors for Catalina Lighting, a publicly traded company on the New York Stock Exchange.

 

Growing up in the Bronx, Mr. Oppenheim learned to be focused on success and driven to always persevere for opportunity.

 

In 2009, he started the South Florida Law Blog, which was voted the best business and technology blog by the South Florida Sun-Sentinel. He also serves as an expert witness on title industry practices.

 

Mr. Oppenheim has also authored two law review articles with Jacquelyn Trask; namely, Deconstructing The Black Magic of Securitized Trusts, published in the Stetson University Law Review’s Spring 2012 Edition, and The Emperor’s New Clothes, published in the William & Mary Business Law Review Volume 6.

 

Today, Mr. Oppenheim is a sought-after legal expert on issues relating to the real estate crisis and beyond. In addition to his own blog, he also has been a contributor to Yahoo! Homes, and featured on HuffPost Live, FOX News, and Lifetime TV. In addition he has been quoted in prominent national publications, including USA Today, The New York Times and Huffington Post, among others. Mr. Oppenheim also understands the power of social media, and can be found on a variety of social media platforms.

 

Mr. Oppenheim also speaks fluent German.

 

Admissions

 

  • Florida Bar, 1987; Member of the Real Property Probate and Trust Law Section
  • New York Bar, 1987; United States District for the Southern and Eastern Districts of New York, 1987
  • U.S. District Court, Southern and Middle Districts of Florida, 1993

 

Education

 

  • Princeton University, A.B., cum laude, 1982
  • Northwestern University School of Law, J.D., 1986
    • Member of the Northwestern University Law Review
    • Member of the National Moot Court Team

Original source:  https://www.oppenheimlaw.com/who-we-are/meet-our-team/roy-d-oppenheim-esq/ 

https://www.oppenheimlaw.com
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