Archive for the ‘Economic Growth’ Category

A Very Brief History of Slack in the US Economy

June 17th, 2014

Given that the Congressional Budget Office kindly provides an historical series of both potential GDP and the NAIRU (non-accelerating inflation rate of unemployment), aka the lowest unemployment rate they judge to be consistent with stable inflation, we can compare those to the actual outcomes and measure slack over the ages. That is, define every quarter that… Read more

What Took You So Long?

June 7th, 2014

As predicted, there’s a fair bit of kvelling over the fact that payrolls last month finally recovered the almost nine million jobs lost in the GR (great recession).  The figure below, by my CBPP colleague Chad Stone, shows the comeback, but more important from the perspective of this post, the pronounced difference in length it… Read more