Recovery Will Be 'Anemic' Historically: Bossidy

The United States will have an "unusual" economic recovery, with sharp growth in the third quarter, but overall a modest bounce back in 2010, former Honeywell chief executive Larry Bossidy told CNBC Friday.

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Generally there is a robust recovery after a deep recession, and gross domestic product will surge at an annual rate of more than 4 percent in the third quarter as inventories are replenished from record lows, Bossidy told "Squawk Box."

But next year GDP will grow by about 2 percent to 3 percent, which in terms of a recovery from a recession is historically "anemic," he said.

"Until employment starts picking up I don't see a robust recovery," he said.

Overall, Bossidy said the country is coming out of the crisis in relatively good shape, but there are too many political distractions like the discussion over health care to generate the sharp economic rebound usually seen, Bossidy said.

"I don't think you will see the consumer rebound by any significant amount in 2010," he added.

Restricting Banker Pay 'Outrageous'

Attempts by the government to prevent large risk-taking by the financial services industry by restricting banker pay and bonuses are "outrageous" and will also fail, Bossidy said.

The government is "never going to figure out what's going to happen" with compensation by looking at pay policy, and the bankers are "three steps ahead" of the government at all times, he said.

But given the recent crisis, "I'd like to think (the bankers are) going to do their jobs more responsibly," Bossidy said.