God is a Capitalist

Showing posts with label industrial production. Show all posts
Showing posts with label industrial production. Show all posts

Sunday, November 8, 2015

How GDP fools economists

Economists look to GDP to determine if the US economy is in a recession. Generally, it takes two quarters of the economy shrinking (economists call it negative growth, but they’re linguistically challenged) for the National Bureau of Economic Research to declare a recession. Of course, those two quarters indicate the bottom of the recession, by definition.