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It's official, US recession ended in June 2009
WASHINGTON: The US economy exited recession in June 2009, the National Bureau of Economic Research said on Monday, ending the most sustained downturn since World War II.
"The recession lasted 18 months, which makes it the longest of any recession since World War II," the bureau said in a statement.
More than eight million jobs were lost in the slump that was triggered by dodgy Wall Street mortgage investments.
Although the economic pain continues to be felt across the country, with one in ten US workers still without a job, the NBER said a slew for economic data showed the worst had now passed.
Despite economists' warnings of a double-dip recession, the bureau said the economy had recovered enough that any new slide would constitute a new recession.
"The committee decided that any future downturn of the economy would be a new recession and not a continuation of the recession that began in December 2007."
"The basis for this decision was the length and strength of the recovery to date."
At the same time it warned that "economic activity is typically below normal in the early stages of an expansion, and it sometimes remains so well into the expansion."
Unlike many countries where a recession is defined as two consecutive quarters of shrinking growth domestic product, in the United States it is determined by a seven-member NBER panel.
Although the depth of the crisis had already been clear, the NBER confirmed it was longer that those which began in 1973 and 1981 and which both lasted 16 months.
It's official, US recession ended in June 2009 - The Times of India
WASHINGTON: The US economy exited recession in June 2009, the National Bureau of Economic Research said on Monday, ending the most sustained downturn since World War II.
"The recession lasted 18 months, which makes it the longest of any recession since World War II," the bureau said in a statement.
More than eight million jobs were lost in the slump that was triggered by dodgy Wall Street mortgage investments.
Although the economic pain continues to be felt across the country, with one in ten US workers still without a job, the NBER said a slew for economic data showed the worst had now passed.
Despite economists' warnings of a double-dip recession, the bureau said the economy had recovered enough that any new slide would constitute a new recession.
"The committee decided that any future downturn of the economy would be a new recession and not a continuation of the recession that began in December 2007."
"The basis for this decision was the length and strength of the recovery to date."
At the same time it warned that "economic activity is typically below normal in the early stages of an expansion, and it sometimes remains so well into the expansion."
Unlike many countries where a recession is defined as two consecutive quarters of shrinking growth domestic product, in the United States it is determined by a seven-member NBER panel.
Although the depth of the crisis had already been clear, the NBER confirmed it was longer that those which began in 1973 and 1981 and which both lasted 16 months.
It's official, US recession ended in June 2009 - The Times of India
