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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsUS Economy Contracts 37% in 2nd Quarter per IMF
This is equal to all of 1929-33 in a single quarter.
And people on DU were poopooing me yesterday when I said this election's closest equivalent is 1932
Link to tweet
?s=19
Corrected myself: this # gets us all the way to 1933
Johnny2X2X
(21,417 posts)Where is this being reported though?
Mike 03
(16,616 posts)"Even with the unprecedented policy support being provided to the economy," the US suffered a 37 percent collapse in GDP in the second quarter, and the economy is expected to contract by 6.6 percent in 2020, the fund said, stressing the "tremendous uncertainties" surrounding the outlook.
https://www.trtworld.com/americas/covid-19-resurgence-poses-biggest-risk-to-us-economy-imf-38206
I wouldn't mind finding a better source. This number is so hard to believe.
Is GDP contraction the same as entire economy contraction?
JCMach1
(27,940 posts)LIVE: US economy plunged 37% in Q2, to contract 6.6% in 2020, says IMF
This is terrible news.
JCMach1
(27,940 posts)JCMach1
(27,940 posts)Peolosi needs to nail them to the floor
guillaumeb
(42,649 posts)Mike 03
(16,616 posts)U.S. economy faces significant risks, long road to recovery - IMF staff
https://o.canada.com/pmn/business-pmn/u-s-economy-faces-significant-risks-long-road-to-recovery-imf-staff-3/wcm/b26675bd-07d9-468d-a551-13fff58cc8bb
The risk ahead is that a large share of the U.S. population will have to contend with an important deterioration of living standards and significant economic hardship for several years to come, the note said. This, in turn, can further weaken demand and exacerbate longer-term headwinds to growth.
It said the United States should reverse existing trade restrictions and tariff increases that were undermining global trade stability, and warned against treating undervalued currencies as countervailable subsidies.
Mike 03
(16,616 posts)I thought for sure it would tank.
Wounded Bear
(60,446 posts)It's basically just a casino now.
Plus, the Fed has been propping it up since the beginning of the crisis.
It's wa-a-a-a-y-y-y-y-y-y past do for a real correction.
Mike 03
(16,616 posts)You are right there's been a disconnect, but I thought this story would have some effect.
Wow...
I don't understand reality anymore.
dawg
(10,707 posts)For whatever reason, lots of people report this number on an annualized basis. In other words, if the economy were to contract at the rate it contracted in the second quarter for an entire year, it would be down 37%. But it isn't actually down 37% yet - that would be horrifying. (But the way we're going, we could still get there.)