Tuesday, May 19, 2020

Recession rewrite

Leaders are often accused of rewriting history but often times defining history works better, especially if they get help from the press. A recent example was with the recession of 2008. Someone said it was the worst economy since the great depression and then it was called the great recession with the news repeating that it was the worst recession since the great depression. The facts say otherwise. For example the Reagan recession of 1982 had 20% interest rates, 13% inflation and 10.8% unemployment. In contrast the Obama recession of 2008 had 5% interest rates, 5% inflation and 10% unemployment. More importantly was the recovery speed with the GDP hitting 4% in 1984 and the GDP never rose about 2.5% after the 2008 recession.

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