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Now, is the business cycle normal or not? In that case, above-average growth in the expansion phase is a normal part of a normal process, but then so is recession. As ATinNM put it last night,
One of the more amusing aspects of the Global Financial Market is the bewilderment of the participants when they discover markets go down as well as up.


"It's the statue, man, The Statue."
by Migeru (migeru at eurotrib dot com) on Sun Mar 4th, 2007 at 05:36:14 AM EST
[ Parent ]
The entire use of the word "normal" makes no sense to me.  Business cycles are normal, because markets are not perfect.  Factors don't adjust immediately.  As I've pointed out, the 2001 crash was not, technically, a recession, since we never had two consecutive quarters of contraction.  (Why, by the way, do my fellow economists insist on calling it "negative growth"?  Is that anything like "jumbo shrimp"?)  And that's, obviously very odd looking at history.  Same story in Britain.  Yes, I'd say that above-average growth is certainly a normal part of a normal process.

Conservatives want live babies so they can raise them to be dead soldiers. - George Carlin
by Drew J Jones (myfriends@thisispancakes.com) on Sun Mar 4th, 2007 at 05:44:00 AM EST
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