3 ms·

Well, I think that is a valid worry, but nevertheless my point was that i believe we are headed to a mild recession and that is a far better outcome than a seve

Well, I think that is a valid worry, but nevertheless my point was that i believe we are headed to a mild recession and that is a far better outcome than a severe recession. But yes, a robust recovery is also better than a weak one and you seem to be focusing on the kind of recovery we might experience. So it seems we are talking past each other.

dragonwriter 4y ago
> nevertheless my point was that i believe we are headed to a mild recession and that is a far better outcome than a severe recession. Ceteris paribus, I would agree, but I don't think that policy response and the effect on the distributional shape of the post-recession recovery is independent of the dimensions of the recession (though there are other aspects of the economic and political context that play a role.) There was a general feeling that the preceding recession never ended leading into the Great Recession and the reason for that is that if you look at the experience across the economy adverse conditions persisted across most income segments despite aggregate expansion. It is my contention that as well as an alignment of the right political conditions when the recession occurred, the policies which contributed to this were able to be implemented and sustained, in significant part, because the aggregate recession was short and mild.