This week, Craig Siminski, of CMS Retirement Income Planning, shares an article discussing various high-frequency indicators economists use to monitor the pandemic’s impact and the economic recovery’s progress:
Since the pandemic began, disruptions in business activity have varied greatly from region to region, and often from one week to the next, according to the severity of local COVID-19 outbreaks.
Unfortunately, many of the official government statistics used to gauge the health of the U.S. economy are backward looking and somewhat delayed.
Changes in the nation’s gross domestic product (GDP) indicate the rate at which the economy is growing or shrinking, but the first GDP estimate is not published by the Bureau of Economic Analysis until about one month after each quarter ends.
GDP increased at a 4.3% rate in the fourth quarter of 2020 but posted the worst annual decline (–3.5%) since 1946.
Rapid changes in virus conditions — for better or worse — can make many of the monthly reports that gauge employment, consumer spending, and production seem outdated and irrelevant by the time they are released.
Consequently, economists and investors have been focusing on more timely data sources to monitor the economic impact of the pandemic throughout the nation. This information is …
To Read the Entire Article, Please Click Here.
Craig Siminski is a CERTIFIED FINANCIAL PLANNER™ professional, with more than 22 years of experience. His goal is to provide families, business owners, and their employees with assistance in building their financial freedom.
Please let Craig know that the Green Bay News Network Sent You.