December 1, 2008 Elad Bushari

The U.S. economy has been in a recession for all of 2008, the National Bureau of Economic Research said Monday.

The Cambridge, Mass.-based organization dates business cyces, basing its decisions on the consensus of economists. The current recession declaration follows a conference call Friday, the NBER said in its statement Monday.

The expansion that ended in December 2007 began in November 2001, the NBER said.

The NBER based its conclusion in large part on measures of gross domestic product and gross domestic income.

The organization said in its statement Monday: “Many of these indicators, including monthly data on the largest component of GDP, consumption, have declined sharply in recent months.”

Elad Bushari

Elad Bushari is the Broker / Owner of Bushari Group Real Estate and a National "30 Under 30" Honoree by REALTOR Magazine in 2009.

Comment (1)

  1. Jason

    According to Keynes, the root cause of an economic downturns is an insufficient aggregate demand. When the total demand for goods and services declines, businesses throughout the economy see their sales fall off. Lower sales induce firms to cut back production and to lay off workers. Rising unemployment and declining profits further depress demand, leading to a feedback loop with a very unhappy ending.

    90% of the time you can make statistics show whatever you want 50% of time

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