No one wants to utter the word "depression." But the truth of the matter is that the American economy may be entering a state of free fall. Every day brings more bad news about the sub-prime mortgage debacle, about home foreclosures, construction industry slowdowns, a credit drought for consumers and businesses, oil price shocks and the open-ended devaluation of the dollar. Where is it all leading?

Even the soberest economy watchers, pundits with doctorates -- whose dismal record in predicting anything tempts me not to mention this -- are prophesying dark times ahead. A depression, or a slump so deep it's not worth quibbling about the difference, appears to be on the way, if indeed it is not already underway.