Not only did U.S. GDP growth slow during and after the recession, but potential GDP also decreased. This loss in potential GDP means that the economy's productive capacity is now 7% its pre-crisis trend level, representing a $3,000 loss for every person in the United States.
Not only did U.S. GDP growth slow during and after the recession, but potential GDP also decreased. This loss in potential GDP means that the economy's productive capacity is now 7% its pre-crisis trend level, representing a $3,000 loss for every person in the United States.