{"id":10285,"date":"2020-07-06T08:00:19","date_gmt":"2020-07-06T13:00:19","guid":{"rendered":"http:\/\/blog.uwsp.edu\/cps\/?p=10285"},"modified":"2020-08-10T10:58:20","modified_gmt":"2020-08-10T15:58:20","slug":"the-economic-recovery-2010-19-what-changed-and-what-didnt-part-1-overview","status":"publish","type":"post","link":"https:\/\/blog.uwsp.edu\/cps\/2020\/07\/06\/the-economic-recovery-2010-19-what-changed-and-what-didnt-part-1-overview\/","title":{"rendered":"The Economic Recovery 2010-19: What Changed and What Didn\u2019t \u2013 Part 1: Overview"},"content":{"rendered":"\n

Before the onset of the coronavirus, the United States enjoyed its longest period of economic growth in history \u2013 beginning in 2010 and ending in 2020. During that period some things stayed the same, and some things didn\u2019t. This blog series will take a look at what happened to some key economic factors over that period. But first, a quick review on the economic recovery of the last decade. <\/p>\n\n\n\n

Following the\nfinancial crisis and recessions of 2008 and 2009, the economy began to recover\nin 2010. A fiscal stimulus, improving credit conditions, temporarily reduced\nsocial security taxes (2011 and 2012), record low interest rates, and a calming\nof the financial markets all contributed to the turnaround. The graph below\nshows the unemployment rate over the past decade. After peaking at\napproximately 10% in October 2009 the unemployment rate took a long, gradual\ndecline until the spike in early 2020. In 2018 the unemployment rate dipped\nbelow 4%, which had not occurred since 1970. The 2018 tax cuts contributed to the continuation of a relatively long\nperiod of economic growth but also contributed to growing federal deficits in a\nperiod of economic expansion. <\/p>\n\n\n\n

Unemployment Rate (16 yrs. and\nolder)<\/strong><\/p>\n\n\n\n

\"Unemployment\"<\/a>
Source: U.S. Bureau of Labor Statistics<\/em><\/figcaption><\/figure>\n\n\n\n

Mirroring the declining unemployment rate was GDP growth. Economic growth was by no means stellar; it was a prolonged period of steady growth, with annual growth never exceeding 3.0% during the recent recovery. In the economic recovery of 1992\u20132000, economic growth exceeded 3.0% in 7 out of 9 years and was 4.0% or greater in 5 years. In the economic recovery after 2001, economic growth exceeded 3.0% in 2004 and 2005.<\/p>\n\n\n\n

\"GDP<\/a><\/figure>\n\n\n\n

According to the\nNational Bureau of Economic Research the recent economic recovery was the\nlongest in history and reached 128 months in February 2020 before coming to a\nscreeching halt. The longest economic recovery in history \u2013 what changed other\nthan unemployment and economic growth? We\u2019ll discuss the impact of the economic\nrecovery on a few select variables next.<\/p>\n\n\n\n

For further information:<\/strong><\/p>\n\n\n\n