Recession 2.0

Looks to me like the U.S. is back in a recession that began in the late spring, perhaps in May of 2011. I have been watching some data – about half of which turned down in the 2nd quarter – and the other half was positive but nothing to be excited about.

It may not be an official NBER declared recession, but it will still feel like one.

The country’s population goes up about 1% per year and if GDP growth is less than 1%, wouldn’t that mean per capita GDP growth would be negative and feel like a recession at the individual level?

Advertisements

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s