Wednesday, August 3, 2011
The state of the recovery
Calculate Risk has an assessment of where the recent recession and current recovery stand relative to previous ones. The picture is pretty grim. After 2 years of recovery, which really means since GDP growth started being positive, we have yet to regain the pre-recession levels of any of four key measures--real GDP, industrial production, personal income, and payroll employment. Keep in mind that the story is actually worse than depicted because population has continued to rise throughout the period. This means that per capita GDP and the employment-to-population ratio, for example, are much further from recovery than are GDP and payroll employment.