fbpx Inflation Isn’t Recession. The Chances of a Downturn Are Lower Than People Think - Jeffrey Frankel | Harvard Kennedy School

Excerpt

June 8, 2022, Opinion: "U.S. consumer sentiment by one measure is at its lowest level since 2011. More Americans say they hear mostly negative news about the economy than hear positive news, or a balance of positive and negative. A majority of Republicans and many Democrats tell pollsters they believe we are currently in recession.  So, is the economy in a recession? No. People are unhappy with inflation, which at 8.3% has recently been running its highest since 1982. But inflation is not recession, which is defined as a significant decline in economic activity. Economic activity is not falling. Quite the contrary: It is booming." Read Via Barron's

HKS Faculty Author - Jeffrey Frankel