INDIANAPOLIS (AP) - Indiana University economists predict a weak recovery in 2010 as the state and nation begin to recuperate from one of the worst recessions since World War II.

The panel from the Kelley School of Business released its forecast Thursday at the Columbia Club in downtown Indianapolis.

The forecast projects growth will top 3 percent next year, but said that increase would only be over the recession's already low level of output.

The economists expect the jobless rate to remain at 9 percent or higher throughout next year. Consumer spending is expected to remain tight and small businesses will find it hard to finance expansion.

Economist Bill Witte says he has long-term concerns about the economy due to increased federal deficits.

(Copyright 2009 by The Associated Press. All Rights Reserved.)

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