Recession?

by thoughtfulconservative

Seems like everyone is convinced we are in a recession or headed for one. And the talk isn’t new. Democrats basically have thought the U.S. has been in one since Clinton left the White House.

Why?

There’s a technical definition of a recession–a decline in the GDP for two consecutive quarters. That hasn’t happened yet. There’s also an ambiguous definition by the National Bureau of Economic Research, but it doesn’t become evident until many months after it happens.

According to those two definitions, we aren’t in a recession. Yet.

Many argue with those definitions. Dad29 often points out indices that better show what shape the economy is in.

Others are much more subjective, pointing to people who are not doing well.

A recession is when your neighbor loses his job.

A depression is when you lose your job.

I think the standard should be objective rather than subjective. But perhaps more data than just the GDP should be included.

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