The National Bureau of Economic Research issued a report earlier this week in which they said the economic recession, that started in December 2007, ended in June 2009, 18 months later. It was the longest recession since World War 2 (1973-1975 and 1981-1982, both 16 months) and that any new economic downturn would be a new recession. The report is a little dry, heck the summary is like a walk in the Sahara, and makes for good headlines, but ultimately a recession is defined by people, not numbers (numbers lie!).
With so many houses underwater, nearly 10% unemployment, and all the other “signs” of a recession, I want to know what you think. Do you think we’re out of the recession?
We may be out of the technical definition of a recession but it’ll be quite some time before we return to the happy days of three or four years ago. With it being football season and all, I think a most appropriate analogy is when a kicker outkicks his coverage. Our economy, fueled by banking and financial chicanery (which we were all complicit in, you can’t blame the drug dealer for getting addicted), grew far too fast to be healthy, our home prices grew far too fast for our incomes, and now we have to pay the price with a little weakness for some time for things to recover. It’s like overeating at a lunch buffet, sometimes you just skip dinner.
What are your thoughts?