Updated and Bumped -- It's official - Peter F. and Tom Blogical - two trolls from our sister site Wizbang, fought tooth and nail in thie comment section of this July, 2008 post to deny that our country had entered a recession. Well, it's official - they're jackasses...
The U.S. economy has been in a recession since December 2007, the National Bureau of Economic Research said Monday.
The NBER -- a private, nonprofit research organization -- said its group of academic economists who determine business cycles met and decided that the U.S. recession began last December.
By one benchmark, a recession occurs whenever the gross domestic product, the total output of goods and services, declines for two consecutive quarters. The GDP turned negative in the July-September quarter of this year, and many economists believe it is falling in the current quarter at an even sharper rate.
But the NBER's dating committee uses broader and more precise measures, including employment data. In a news release, the group said its cycle dating committee held a telephone conference call on Friday and made the determination on when the recession began.
Not only did I call the fact that we were in a recession correctly - I nailed the starting point of the recession:
They then look back, and pick the date that the recession started. Hint - it started 4Q '07, Tom.
By definition we are in a recession for many months before the recession is "declared"....
We're in a recession, now, Tom - even though it hasn't been declared, and probably won't be declared for some time now.
It took another four months before the NBER called it, and meanwhile conservative loudmouths like Peter F and Illogical Tom Blogical got a free ride on their lies... but sooner or later the truth always seems to catch up with these trolls...
----original post begins here---
It's Another Republican Recession
published July 31, 2008
Wall Street could be in for a rocky ride today as unemployment takes a big jump up and GDP grows slower than expected, knocking the U.S. squarely into a recession.
But not to worry, Republicans. You'll be relieved to learn that Exxon's profits are rising.
The world's biggest non-government oil company had net income of $11.68 billion, or $2.22 a share, up from $10.26 billion, or $1.83 a share, a year earlier.
Wew! That's a relief!
But everyday Americans shouldn't count on relief, not from Republicans. The Republican criminals in Washington are more concerned about staying out of jail than in solving our economic crisis.
[S]ome economists, most notably Federal Reserve Chairman Ben Bernanke, have worried that with those [economic stimulus] checks already cashed, spending and economic activity could now slow in the second half of the year.
Gross domestic purchases, a measure of how much American consumers, businesses and governments are buying, fell 0.5%, after a narrow 0.1% rise in the first quarter and a 1% drop in the fourth quarter, a sign of underlying weakness in the economy.
Robert Brusca of FAO Economics described the report as weaker than the 1.9% growth rate would suggest, as changes in imports and exports was responsible for more growth than that by itself.
The gross domestic product, the broad measure of the nation's economic activity, grew at an annual rate of 1.9% in the three months ended in June. That's up from a revised 0.9% growth rate in the first quarter.
Even with much stronger growth, the reading was weaker than expected, as economists surveyed by Briefing.com had forecast growth of 2.3%.
The first-quarter reading was revised lower from a 1% growth estimate a month ago.
The Commerce Department revised the fourth-quarter 2007 reading to a decline of 0.2%. The previous fourth-quarter reading was 0.6% growth.
And yes, we are in a recession.
Many people wrongly believe that a recession is defined as two consecutive quarters of GDP below zero. In fact, during the last recession of 2001 there never were two consecutive quarters of negative GDP.
The body that determines when the economy is in a recession, the National Bureau of Economic Research, does not focus on GDP. It looks at a variety of other economic measures, including employment, income controlled for inflation, wholesale and retail sales, as well as industrial production. It generally does not declare a recession until at least six months after it begins.
Our national debt hit $9.5 Trillion today, another boat anchor around the necks of everyday Americans... but Republicans like John McCain are happy to pledge American lives and tax dollars towards protecting Exxon's interests in the Middle East for another 100 years.
Update II: Note that in the comment thread below a few of Wizbang's worst resident trolls attempt a classic Republican
lie misdirection, stating that it takes two consecutive quarters of declining GDP to signal a recession.
Bullshit. Here's the Wall Street Journal:
It's a common (but mistaken) belief that a recession is defined by two consecutive quarters of negative GDP.
The actual working definition is "a significant decline in economic activity lasting more than a few months," usually seen in GDP as well as monthly data on job growth, income growth, industrial output and business sales. All four of the monthly indicators are flashing recession signs.
Related: John McCain Strikes it Rich!
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