Slow job growth and a housing market still in the dumps have some analysts saying we're in for a double-dip recession, but UCF economist Sean Snaith has a more positive outlook.
In the dreaded double-dip scenario, the economy goes back negative soon after coming out of a recession. But UCF's Sean Snaith says that's not what's happening now.
"What we're seeing now is that gradual recovery," said Snaith.
He compares the economy to a critically ill patient.
"After multiple surgeries to fix what was wrong with that person, you don't expect them after a couple of weeks to hop out of the hospital bed in the intensive care unit and go dance at a wedding," said Snaith. "A lot of things went awry during this recession, and a lot of problems built up. They're not going to go away overnight, the labor market in particular."
He says slow growth should be expected considering the large amount of wealth lost in the housing and stock markets and the country's high unemployment.
"All of these things together are weighing on the backs of consumers, and consumers are 70 percent of our economy," said Snaith. "Their spending, while it is growing, it's not growing at a pace that is fast enough to give this recovery the type of momentum it would need to have a v shape."
Snaith says this recovery is shaped more like a gravy boat.
"That was alluding to the deepness of the recession," said Snaith."That's the bowl of the gravy boat, but the recovery part is going to be gradual like the tapered spout of a gravy boat."
Snaith does predict things will improve by next year. He advises investors to be patient and says those who can afford it should take advantage of the housing market. He says housing costs and interest rates probably won't be this low ever again.