This probably isn't the best use of my time right now, but maybe there's a teaching moment here. In the face of the COVID19 pandemic, folks in the US (and apparently most developed nations) have gone on a toilet paper buying spree. One result besides the appearance of empty shelves, has been a lot nasty … Continue reading Toilet Paper in a Pandemic
Inventory
GDP 4th Quarter 2010
The numbers for the flash estimate are out today from BEA for U.S. GDP growth, 4th quarter 2010. I'll let Calculated Risk summarize the headlines: Advance Report: Real Annualized GDP Grew at 3.2% in Q4 by CalculatedRisk on 1/28/2011 08:30:00 AM From the BEA: Real gross domestic product -- the output of goods and services … Continue reading GDP 4th Quarter 2010
One Quick Thing: GDP Not Good
I know I said I'd be on vacation, but thanks to 3G coverage, I can add this item today. The second revision of 1st qtr GDP 2010 GDP growth rate was announced. It's revised down again, and it still looks like it's mostly all the result of inventory accumulation. So we have GDP = C … Continue reading One Quick Thing: GDP Not Good
The Case of the “Disappearing Stimulus” and the “Illusory Inventory”
Worthwhile Canadian Initiative notes that sometimes, a reported slower GDP growth rate is actually better news than another slightly higher reported rate. As I've noted repeatedly on this blog and in class, it's important to look at the numbers behind the numbers. When 5.0% GDP growth is better news than 5.9% GDP growth In 2009Q4, … Continue reading The Case of the “Disappearing Stimulus” and the “Illusory Inventory”
Inventories & GDP Explained
A good explanation of the role of inventories (and inventory changes) in GDP, including examples from 2009. From Calculated Risk. First, GDP is Gross Domestic Production. What is being estimated is "domestic production", but what is being measured is mostly domestic consumption. Right away we can see that if something is produced domestically and then … Continue reading Inventories & GDP Explained
EconProph 