Joseph Stiglitz, Nobel Prize-winning economist, alerts US economy will face the new wave of recession in the second half of next year. "There is a significant chance that the number will be in the negative range."

So, Stiglitz urged the government to prepare a second stimulus package to spur job creation.

Stiglitz, called on Washington to make more funds available to state governments who face a drop in tax revenue. "If you don't prepare now, and the economy turns out to be as weak as I think it's likely to be, then you'll be in a very difficult position," he said.

The US economy, he considers, must grow at least 3% to create enough jobs for new entrants into the labor force, he said.

The economy grew at a 2.8% rate in July through September, after a record four straight quarters of contraction.