Two Pictures for the New Year

Mon, 12 Jan 2009 14:08:16 +0000

From time to time, I like to update the following two pictures. The first shows the time-series of the unemployment rate and the unemployment rate augmented to account for all marginally attached workers and those employed part-time for economic reasons. The latter is referred to as U-6 and is reported here each month. The two rates reached 7.2 and 13.5 percent of the relevant labor forces, respectively, in last Friday's employment report. The augmented rate is rising even more precipitously than the basic rate.

From CGG

The second shows the time-series of three investment series: Equipment & Software, Residential, and Non-Residential Structures. The first peaked in mid-2000 and fell by 2 percentage points of GDP during the ensuing recession. By comparison, Residential investment peaked in late 2005 and has already fallen by 3 percentage points of GDP through the third quarter of 2008. Its contribution to GDP is now below that of investment in Non-Residential Structures.

From CGG