Short Interests: Crosswinds crossing up Wall Street

On one hand, the economy is getting some good news, says one top economist. But there’s always that other hand.

First, there will be two big sources of consumer spending, says Henry Willmore, a director and chief U.S. economist in New York for Barclays Capital. The combination of the federal tax rebate and a surge in home refinancing will pump $100 billion into the U.S. economy, he says.

But growth in production on technology such as computers and semiconductors this year will be much slower. Last year, there was over 50% growth. This year, it will be at best 10% and perhaps closer to zero, he says.

In the face of conflicting winds, Mr. Willmore forecasts that the U.S. economy will grow at a rate of 2% in 2001 and 3.5% to 4% next year.

Death still calls for financial help

Rich Americans may soon fork over less in estate taxes, but they still want help from financial advisers when it comes to estate planning.

A recent study conducted by Mathew Greenwald & Associates Inc. in Washington shows that the well heeled are fully aware of planned reductions in the so-called death tax, and its eventual elimination. But 83% say they are still pursuing estate planning, 88% still think estate planning is important, and 87% place more importance on directing assets to beneficiaries than on minimizing estate taxes.

Many seek advice from more than one source: 89% have turned to a lawyer, 78% to an accountant, 54% to an independent adviser, 50% to a stock broker, 31% to an insurance specialist and 22% to a banker.

The study, conducted for American General Corp. in Houston, surveyed more than 200 Americans age 50 or older with a net worth of at least $2 million.

Watch the birdie

Sometimes movies are the next best thing to being there – that is, when it comes to finicky nesting peregrine falcons, reports sister publication Pensions & Investments.

Employees at Frank Russell Trust Co. tried and failed for the past several years to attract a local pair to the company’s downtown Tacoma, Wash., rooftop with the installation of a nest box. The Russell building is a favored perch site for the falcons, but the pair, Guy and Mickee, chose a nest box suspended from a bridge and hatched two chicks May 9.

But Frank Russell associates and visitors to the office can watch the progress of the two fluffy chicks on monitors in the lobby. The transmission of the images to the Russell building is made possible by a camera that was set up by Bud Anderson, a biologist with the Falcon Research Group. The installation of the camera and the transmitting facility were paid for by the family of Jim Lyles, an employee of the U.S. Geological Survey who watched the falcons nearly every day for more than five years from his downtown Tacoma office before he died last year. Biologists believe Mickee and Guy are the first peregrines to make their home in downtown Tacoma.

More information about the Tacoma falcons is available at tacomafalcons.org.