Economists often characterize the outcomes as by the shape of letters of the alphabet. A "V" indicates a quick collapse and an equally quick recovery. "L" suggests a collapse followed by a very weak recovery. And a "W" indicates a double-dip in which the quick recovery is followed by another collapse. Ironically, our previous president was known as "W" will and our present president could be known as zero, which approximates the first letter of his last name.
A V-shaped recovery suggests that the economy was fundamentally strong, allowing the economy to quickly pick up steam. A W-shaped outcome is a telltale sign of an economy that was leaked to begin with, propped up by external support, which was withdrawn prematurely.
For example, Roosevelt succumbed to outside pressure in 1937, leading to an expected setback. Under far less pressure, Obama followed suit. Read more at:
http://michaelperelman.wordpress.com/2011/06/03/the-optimism-of-a-double-dip/
-- Michael Perelman Economics Department California State University Chico, CA 95929
530 898 5321 fax 530 898 5901 http://michaelperelman.wordpress.com