I predict that around 2009 October or so, there will be lots of seemingly cheerful economic news. Quite possibly sooner, possibly some time in August.
I predict that the Keynesian element of the depression will rapidly and visibly diminishing towards the end of the year. Crises that are well described by Keynes (aggregate demand falling below aggregate supply) never last long, except to the extent government intervenes to forbid businessmen to adjust to them. Say’s law is observed to be mostly true in practice, except where the government makes it illegal. Obama, for all his faults, has not done much to stop Say’s law from operating, therefore aggregate demand is going to be fine very soon.
It will then become apparent to what extent this is a crisis as described by the Austrian school – (unemployed financiers, real estate agents and union car makers that have to learn new careers) and to what extent this is a Galt strike, a crisis as described by Ayn Rand in “Atlas Shrugged” (horrified entrepreneurs despair and flee.)
I also predict that when it becomes apparent to what extent this is a Galt Strike, the cheery economic news will not look so cheery in retrospect – that at some time between late 2010 and early 2012 the “green shoots” of 2009 will be discovered to have been composed of poison ivy.