Word: lonski
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...persistent stock market decline can also hurt the economy by making companies more cautious about expansion and hiring. "If the stock price isn't doing well," says John Lonski, chief economist for Moody's Investors Service, "shareholders will put pressure on management to cut costs to improve returns." That usually means layoffs and plant closings, which "ripple through the economy" as laid-off people cut spending...
...represented refinancings that will reduce corporate payments to investors, the latest sales could also be a harbinger of corporate investment in new plant and equipment later this year. "If interest rates remain relatively low, we should see a rebound in capital spending once the economic outlook brightens," says John Lonski, senior economist for Moody's Investors Service...
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