Wednesday, September 22, 2010

What It Is, If no longer called a Recession

What It Is, If It's No Longer a 'Recession' - Yahoo! News

I have a question, how can it be a recovery if it's unemployment is higher than its unemployment during the recession? I don't see any indication according to what Economists believe to be a recession, containing positve growth and change.

"In economics, a recession is a business cycle contraction, a general slowdown in economic activity over a period of time.[1][2] During recessions, many macroeconomic indicators vary in a similar way. Production as measured by Gross Domestic Product (GDP), employment, investment spending, capacity utilization, household incomes, business profits and inflation all fall during recessions; while bankruptcies and the unemployment rate rise" (Wikipedia)

So if we go according to this definition, where is the growth in economic activity over the past year? I don't see the evidence that supports the concept that our country is no longer in recession but rather in "recovery."

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