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Output gap
Economists may be too optimistic about the recovery path of output following recessions says FRB analysis
The economic collapse in the wake of the global financial crises (GFC) and the weaker-than-expected recovery in many countries have led to questions about the impact of severe downturns on economic potential. Indeed, for several major economies, the level of output is nowhere near returning to pre-crisis trend (figure 1). Such developments have resulted in … Continue reading
Our prolonged employment gap – Rex Nutting – MarketWatch
Everyone knows that the Great Recession has inflicted tremendous damage to the lives and fortunes of millions of Americans. But what you may not know is that most of the suffering is still to come. We’re not even halfway done with this mess. The economy has been growing for 31 months now, and employment has … Continue reading
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