Tuesday, 19 May 2015

The shallow industrial recession

For the last several months I have described the US as having a "shallow industrial recession."  By that I mean that there has been a significant and prolonged slight downturn in manufacturing.  At the same time, the wider economy has held up decently.  With 3 of the 4 big coincident indicators for April in the books, let's take a look.

Recessions are defined as a pronounced and general downturn in production, employment, sales, and income.    Here is what happened to employment and income going into the 2000 and 2008 recessions:



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