Tuesday, July 16, 2013

Exponential Trend Failure of the Day

Click to enlarge.

How are we doing relative to the long-term exponential trend?

Click to enlarge.

It could be worse I suppose. At least we're still in the declining trend channel.

Source Data:
St. Louis Fed: Industrial Production Index


Stagflationary Mark said...

I've got naming remorse.

I really should have called myself Stagnationary Mark. Oh well!

Although the price of oil is high, these charts imply that we have a lot more in common with the Great Depression than we have with the 1970s.

dd said...

But but a gazillion financial products were manufactured in the last decade. OTC derivatives alone manufactured a quadrillion. If industrial production were expanded to include these very valuable "products" it's way positive. Cheer up: with the right metrics it's a Goldilocks economy!

Stagflationary Mark said...


Yes! Yes, indeed! Very "valuable" products!

Wink, wink. Nudge, nudge.

Have no fear. I'm definitely cheered up. Even if the entire global economy falls apart again, I shall still have this sarcastic memory to cherish, lol.