The Treasury Department released a bunch of recession charts on Friday. (We’ll post a few more throughout the day.) Above: a stark illustration of how far GDP has fallen since its peak — especially versus past recessions.
Federal Reserve officials predicted three bleak years for the U.S. economy, and the Federal Open Market Committee announced today that it intends to keep short-term interest rates extremely low until 2014 amid a pondering economic recovery.A note on reading the graph above: The dark blue band represents the “central tendency of projections” and the light blue band represents the full range of projections.
The upshot is that Fed officials believe the economy will hit 3% to 4% yearly growth in the next three years. That’s better than we’re expanding now, but it’s still worse than most recoveries from past recessions. Read more.