Lots of people and pundits are having fun with the NBER’s announcement of the end of the Recession.
The Business Cycle Dating Committee of the National Bureau of Economic Research met yesterday by conference call. At its meeting, the committee determined that a trough in business activity occurred in the U.S. economy in June 2009. The trough marks the end of the recession that began in December 2007 and the beginning of an expansion. The recession lasted 18 months, which makes it the longest of any recession since World War II. Previously the longest postwar recessions were those of 1973-75 and 1981-82, both of which lasted 16 months.
So today, 15 months after the end of the recession we are all speculating about what the Fed will say about embarking on a new phase of quantitative easing in order to get the economy moving.
Do you sense a disconnect here?