Europe Economy

V-Shaped Recovery Will Last 2 Years: Wesbury

The economy and the stock market have very good potential to climb, as the strength of the recovery will surprise many, two market experts told CNBC Tuesday.

"I believe we're in a V-shaped recovery that's going to last for one-and-a half, two years," Brian Wesbury, chief economist at First Trust Advisors, told "Squawk Box."

Other economists have painted a bleaker picture, with one warning that if the stimulus money were to be pulled out, the world faced the risk of a 1930s depression.

But the problem "wasn't as bad as people seem to believe it was" from the beginning, Wesbury said.

Market Task Force

The fundamentals of the US economy "look pretty good," said Brian Belski, chief strategist at Oppenheimer.

"Corporate America's balance sheets are pristine," Belski explained. 

Companies Manage Better

Companies have cleaned up their balance sheets and CEOs make more prudent projections for earnings and sales now than a decade ago, he added, which is a sign that companies manage business better.

"Because of the fundamentals… we think the market can and should go higher over the next 12 months," Belski said. "From here I still think we have double-digit return."

"We think that corporate America is poised to continue recovering," he added.

Analysts have said the impressive rise in gross domestic product may slow down dramatically after programs such as Cash for Clunkers dry up, with consumers still unable to finance the recovery.

Some economists project economic growth of only around 2 percent next year, below the US potential for 3 percent, but Wesbury disagrees.

"I think GDP is going to be stronger. I'm looking at 4 percent growth for next year," he told CNBC. "The Fed is very easy, the panic is over."