Measuring growth in Gross Domestic Product (GDP) is like taking the economy’s temperature.
The annualized growth rate of 1.5% at the end of the second quarter – which is a sliver above the projected 1.4% rate – indicates that the patient is still alive, but barely.
The economy is not quite on life support, but compare that growth rate with cumulative growth in the three years following previous recessions. For the four recessions in the ‘60s, ‘70s and ‘80s, the cumulative growth fell between 15% and 20%. For the most recent recession, the cumulative growth rate for three years is just 7.13%, according to The Wall Street Journal.