Money and Financial Markets
Annualized productivity growth in 2001:IVQ, which recently was revised upward from 3.5% to 5.2%, was surprisingly strong. Although productivity growth often spikes near the end of recessions (as in the current episode), it usually stagnates or even becomes negative around business cycle peaks. This did not occur during the most recent downturn, however. In the five quarters centered on the peak, productivity grew at an annual rate of 1.4%, equaling its average pace during 1974–90.
Suggested citation: "Money and Financial Markets," Federal Reserve Bank of Cleveland, Economic Trends, no. 02-04, pp. 06-07, 04.01.2002.