THE US “GREAT RECESSION” OFFICIALLY ENDED JUNE 2009

Montevideo, September 21 (MercoPress).- Its views carry weight in the US, even though there is usually a lag before it reaches a position, said BBC World Service economics editor Andrew Walker.

The organisation's figures take in data beyond simply GDP. Income, employment industrial production and wholesale retail sales also form part of the analysis.

The previous longest post-war recessions in 1973-75 and 1981-82 both lasted 16 months, it said.

Meanwhile, President Barack Obama, speaking in Philadelphia on Monday evening, said the end of the “Great Recession” would come as little solace to the millions of people who were still out of work.

“Even though economists may say that the recession officially ended last year, obviously for the millions of people who are still out of work, people who have seen their home values decline, people who are struggling to pay the bills day to day, it's still very real for them,” Mr Obama said.

In its report, the NBER said: “The committee did not conclude that economic conditions since that month have been favourable or that the economy has returned to operating at normal capacity.

”Rather, the committee determined only that the recession ended and a recovery began in that month.”

Separately on Monday the Organisation for Economic Co-operation and Development (OECD) also cut its US growth forecast. The OECD predicts the US economy will grow by 2.6% this year, having previously predicted expansion of 3.2%.

Meanwhile, the UK's Centre for Economics and Business Research (CEBR) said that it expected the US economy to expand by 2.2% next year, after growing by 2.5% this year.

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