U.S. officially in Recession since December 2007 according to NBER

December 1, 2008 by · Leave a Comment
Filed under: Economic News 

Well it is good for us to finally admit what most people without a P.H.D in economics have known for sometime.  You do not get a housing bubble to burst and a meltdown in the credit markets and not have a contraction in the economy.   The real question is, are we heading for a depression?  I think the verdict is still out but with each move to bail out failed companies, moves us closer by devaluing our currency and going against the basic free market principles.   Everyone loves the good times but want to do anything to prevent the bad times from ever coming.

News:

The U.S. economy entered a recession a year ago this month, the panel that dates American business expansions said today.

The declaration was made by the cycle-dating committee of the National Bureau of Economic Research, a private, nonprofit group of economists based in Cambridge, Massachusetts. The last time the U.S. was in a recession was from March through November 2001, according to NBER.

“The committee determined that the decline in economic activity in 2008 met the standard for a recession,” the group said in a statement on its Web site. The 1.2 million drop in payroll employment so far this year was the biggest factor in determining that start of the contraction, the group said.

The 73-month economic expansion, lasting from November 2001 to December 2007, was well short of the previous cycle that lasted a record 10 years. At 12 months, the current contraction is already longer than the last slump that covered the eight months from March to November 2001.

Click Here to Continue Reading    

 

Speak Your Mind

Tell us what you're thinking...
and oh, if you want a pic to show with your comment, go get a gravatar!