1. The Threat: External forces that could tip the economy into recession. A critical geopolitical event elsewhere, deteriorating debt conditions in Europe, an increasing debt-to-GDP ratio in the United States, or further downgrading of our nation’s credit rating could all push the U.S. and global economy into a recession.
Recent foreclosure freezes by some lenders who allegedly failed to follow legal procedures add a new complication for those trying to bring stability to distressed neighborhoods. As case studies around the country show, stabilizing neighborhoods typically starts with housing—then spreads to the commercial area.