With this recovery, it's back to the future.

• Author: Cote, Mike
• Position: ECONOMY - Brief article

Economists, policymakers and business leaders--and anyone who works for a living--are bracing for high unemployment rates for several years to come. And we haven't seen the last of bank failures, debt hangovers and government revenue emergencies.

That doesn't mean we're not poised for long-term economic recovery. But this one mixes the bitter with the sweet.

"We're going to have high unemployment rates in this country for several years to come, even though we're going to probably return to fairly good job creation," says James Paulsen, chief investment strategist for Wells Capital Management.

"We're going to have continued bank failures for the next several years in small-and middle-sized banks. We're going to continue to have debt write-offs. We're going to have continued talk about state and local finance problems. But we're going to have economic recovery while we're doing that."

Now...