The Minneapolis Fed has published some really good new graphics showing, as if we didn’t already know, how bad the 2007-2009 (and counting, for some people) recession was and how agonizingly slow the recovery has been.
It was the longest and deepest recession since the end of World War II. For millions of Americans who are still unemployed, it’s still going on, even as the stock market and corporate profits soar.
And, as Prof. Krugman points out, one of the explanations for this situation is the drop in federal discretionary spending:
Policy created the recession; policy continues to dictate its length.