Home > Off Blog > After failed Obama stimulus, economy now in free fall again…

After failed Obama stimulus, economy now in free fall again…

September 12, 2010 Leave a comment Go to comments

According to the Consumer Metric Institute, their daily contraction watch index shows the second dip in this recession has now reached the level seen during the first phase of the crisis. If everything holds a before, this crash will begin showing up in government data over the next three to six months.

CMI: 2010 contraction versus 2008 event

The bounce created by the Obama stimulus has apparently worn off, and economic activity has resumed its downward spiral. CMI’s monthly index shows both the initial plunge, and the Obama bounce which ended approximately 240 days ago. It is this abruptly fading bounce that set the stage for the current contraction of economic activity.

CMI: Monthly weighted Composite Index

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