Simple national income and product accounting tells us that the current US recover (I can barely manage to type that without scare quotes and I *hate* scare quotes) has been horrible for two reasons: low government purchases of goods and services (G) and low housing investment. Consumption, fixed non residential investment, and inventory investment have recovered normally. Net exports didn’t fall. The two possible (non exclusive) explanations of the extraordinary decline in real G during the recovery is that Republicans are stupid and that they are evil saboteurs.
Read more about Half of What’s Wrong With the Recovery in One Chart
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