An economic recovery will start in the last half of 2009, after declines this quarter and next and weak growth in the first half of the new year, with the jobless rate hitting 7%, according to Federal Reserve Bank of Philadelphia president and chief executive officer Charles I. Plosser.

“The decline in energy and commodity prices in recent months has reduced my own concern about rising inflation expectations — at least in the near term,” Plosser said yesterday before the Economics Club of Pittsburgh, according to a prepared text released by the Fed.

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