By moving gradually, we’ve been able to take in new data and conduct analysis on four key issues. First, when an economy is running close to full capacity, it can actually create more capacity as firms invest and discouraged workers are drawn back into employment.
With many regional governments over-burdened with debt, there has been renewed recourse to the IMF and the other multilateral institutions for financial assistance. Here at home, we have not been spared. After GDP growth averaging 7 percent since 2001, the economy saw a reversal, starting in the fourth quarter of 2008.