(What’s Left of) Our Economy: New Fed Figures Show US Manufacturing Still on Edge of Recession

It looks as if things are going to get worse for the new Administration before they get better. The problem is that the practices of the current of the current Administration have helped to squelch the new business that would create new growth. So industry has been staying in place for the last eight years.

RealityChek

New Federal Reserve data showed that constant-dollar manufacturing output dipped by 0.03 percent sequentially in November – which enabled the sector to (barely) stay out of technical recession (two or more quarters of cumulative constant-dollar production decline). Industry’s real production is now up by 0.09 percent since November, 2014.

Yet both manufacturing super-sectors – durable and non-durable goods – remained in their own downturns. The former’s remains off by 0.41 percent since November, 2014, and the latter’s by 0.07 percent since August, 2015. Manufacturing’s sequential decline was led in part by a 2.28 percent vehicles-led decrease in after-inflation automotive production – the first fall-off since May. Overall, moreover, manufacturing’s real output remains 4.11 percent below its pre-recession peak – nearly nine years ago.

Here are the manufacturing highlights of the Federal Reserve’s new release on November industrial production:

>Inflation-adjusted manufacturing slipped in November by 0.03 percent month-on-month, a small enough…

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