Sunday, September 12, 2010

Why this is not a typical post-war recession

What is so unique about this recession? High unemployment and de-leveraging of the consumers. The US unemployment rate has been this high only once in the early 80's. And consumer credit has never contracted as much as this time. This isn't technical analysis. But during the past 60 years, this is the only time consumer credit has contracted to a level below its 50 month moving average.

Unemployment Rate


Total Consumer Credit

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