With the economic news is hitting us like a tonne of bricks, it is no wonder so many people are asking “what are the economic recovery indicators?” It seems that everywhere we turn someone is trying to tell us how things are going. From the media to politicians; everyone is saying how good things are going for the economy. However, if you've been watching the news for any length of time then you know that the economic news isn't all that it's cracked up to be.
If we were to actually take some time out to really reflect on what is being said during these economic recoveries, we would find that pretty much everything is being touted as being “the best thing since slice bread.” It seems that no matter where we turn there is always another economic report being announced which says that the economy is recovering. While it's true that the economy is on the rebound, there is more to this story than that. Economic recovery indicators are meaningless if the government or anyone else involved in the economic recovery is not taking steps to ensure that it stays on that rebound.
Now that we have the disclaimer out of the way here are some criteria to use when deciding which economic indicators are telling the truth. One of the first criteria is that the economic news that you are hearing must be coming from reputable sources. If a business announced that they are creating a million new jobs in the next two months and then after the announcements ends up saying that the recession is over and that now is the time to start investing, those are probably not the economic indicators that you should be listening to. The government is not creating millions of new jobs and they are not investing in our economy and it makes perfect sense for them to do that.
Secondly, it doesn't make much sense to listen to economic recovery indicators that include a statement such as “the unemployment rate is going down.” If that statement were true, then it would certainly be news to the millions of people being laid off in the US economy every day. When the unemployment rate is going down, that means there are more people getting back into the workforce and there are more businesses having people work for them. The unemployment rate should never fluctuate because that means the number of people entering the workforce is not growing proportionately to the growth in the population; and that is the opposite of what we are experiencing.
Lastly, the last thing you want to hear are economic indicators that say that the US is in a recession because the stock market is falling. You see, economic indicators are always considered to be a snapshot in time; they are never considered to be a true indicator of where we are in an economic cycle or in a recession. This is why so many people lose their jobs and the stock market goes down.
As you can see there are a lot of economic recovery indicators that are just not telling the whole story. Remember, when watching television and listening to the media, you don't want to hear about an economic indicator that says the unemployment rate is going up or down. Rather, what you want to hear about is the number of people who have been laid off, the . . . . . . number of homes that have been foreclosed on, or the number of deaths. These are the indicators that you really need to pay attention to and act upon because they are telling you something that is very important. So make sure you listen to what economic indicators say, because you need to base your actions as far as your business dealings going on in this economic recovery period.