THE U.S. ECONOMY WILL BE ADVANCING IN THE CUR-RENT HALF YEAR, with even recent pessimistic economists agreeing now that the outlook is considerably improved. The pessimists believe that Washington has pumped in so much extra money into the economy that it is bound to advance at a solid pace over the next year-and a year or two after that. These analysts point to the significant fiscal stimulus now in place that is likely to add an extra percentage point to the country's growth rate in the years ahead. Then there's the Federal Reserve's low interest rate regime, which has been maintaining a heavy dose of cheap money to the financial system. The resulting drop in long-term interest rates has kept consumers spending and also triggered wave after wave of mortgage refinancings and cash-outs that have put an extra 200 billion dollars a year in household checking accounts.
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