Quick Takes | Jobs and Unemployment

From Bad to Worse

Today’s revisions to estimates of gross domestic product (GDP) confirm that the deceleration of economic growth in the second quarter of 2010 was even more pronounced than originally thought. (On August 27,The Bureau of Economic Analysis lowered its estimate of economic growth in the second quarter to an annual rate of 1.6 percent, down from an initial estimate of 2.4 percent issued last month.)
In fact, without the stream of spending provided by the Recovery Act the economy would have contracted outright.
This is most troubling, as Recovery Act money is almost spent and will provide no boost to growth going forward. The case for more action from policymakers to support the recovery and return the job-market to health is now overwhelming. -Josh Bivens.

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