Recovery Proceeding More Slowly than It Should
Created on September 28, 2012
YEAR RECOVERY BEGAN
QUARTERS OF RECOVERY
GAP BETWEEN ACTUAL AND POTENTIAL GDP
One way to analyze the economy is to compare actual economic output to potential economic output, which is an estimate of how well the economy should be performing. Using this metric, the current recovery has made only modest improvement. Conversely, the 1982 recovery improved rapidly.
Source: Heritage Foundation calculations based on data from U.S. Department of Commerce and U.S. Census Bureau via Federal Reserve Economic Data, http://research.stlouisfed.org/fred2/ (accessed September 28, 2012).