Authors:

  • Robert Barro

Excerpt

Transfer payments and monetary expansion. Robert Barro, 2014, Paper. "The economic recovery since the end of the Great Recession in 2009 has been weak in the United States and elsewhere. The average growth rate of U.S. real GDP since 1948 was 3.2 percent per year. In the recession from 2007 Q3 to 2009 Q1, GDP fell by 4.3 percent. But this decline is 9 percent when gauged relative to trend; that is, after factoring in normal growth. To make up for this shortfall, the subsequent recovery has to attain growth rates averaging above 3.2 percent for several years. As an example, the GDP growth rate averaged 4.4 percent per year from 1983 to 1989..." Link