Menzie Chinn | TalkMarkets | Page 3
Professor of Public Affairs and Economics at the University of Wisconsin
Contributor's Links: Econbrowser University of Wisconsin
Menzie David Chinn is a professor of public affairs and economics at the University of Wisconsin–Madison. He, along with James Hamilton, are co-authors of Econbrowser, a weblog on current macroeconomic issues. Menzie received a PhD in economics from the ...more

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Business Cycle Indicators: February Personal Income, Consumption, And January Mfg/Trade Industry Sales
Here is a look at February Personal Income, Consumption and January Mfg/Trade Industry Sales. Plus, 3rd release of 2023Q3 GDP.
Measuring Fed Inflation Credibility
As of February 2024, the inflation rate expected 3 years out is lower than it was in January 2021. While expected CPI inflation has declined, dispersion of forecasts has increased slightly.
Conference Board Revises 2024 Outlook Up
Interestingly, the Conference Board sees near zero growth in 2024Q2-Q3. This is consistent with the term spread based predictions which show a high probability of recession in 2024Q2.
Are You Better Off Than You Were 4 Years Ago
The cumulative growth is similar, although if nowcasts and forecasts hold up, they’ll soon diverge. And in terms of growth rates, they’re pretty closely matched.
FOMC March SEP On GDP
2024 q4/q4 growth at 2.1% matches FT-IGM survey discussed in our previous post.
Is The Fed Looking At FAIT? If So, What Would It Imply?
To hit FAIT trend by end-2026, starting from when the new monetary strategy was published, the Fed would need to engineer deflation (of about 0.8% on an annual basis).
Immigration 2021-23: Supply And Demand Shock
Recent studies suggest that Census data used for the household survey of the employment report understated immigration in 2023.
March FT-Booth Macroeconomists Survey: GDP, Recession, R*
The FT-Booth Macroeconomist Survey was released today. GDP is slated to grow 2.1% in 2024, q4/q4.
“Grocery Prices Have Soared. That’s Spoiling Biden’s Economic Pitch”
From a sentiment standpoint, food prices are particularly salient because they — like gasoline prices — are encountered by consumers with relatively high frequency.
Business Cycle Indicators, Mid-March 2024
Industrial production is near consensus, while manufacturing surprises on the upside (+0.8% vs. +0.3% m/m).
“Inverted Yield Curve No Longer Reliable Recession Flag, Strategists Say”
We are currently about a year and a half from when the 10yr-2yr spread went negative, It’s still too early to say we’re safe, despite the apparent strength of the economy right now (well, as of February’s data).
Russian Growth Slows
According to the monthly estimate published by the Russian Ministry of Economy, the annual growth of Russia’s GDP has clearly slowed down in recent months.
Dot Plot Vs. Market Expectations
A question was raised today regarding whether one could distinguish between the market’s expectations and the Fed’s, regarding the path of Fed funds rates.
Is Velocity Stable?
An ADF test applied to both velocity series (in logs) fails to reject unit root null, while a KPSS test applied to both series rejects at 5% msl the trend stationary null.
Inflation In February 2024
Core CPI surprises (0.4% vs. 0.3% m/m) on the upside, while headline at consensus.
GDP And Treasury Yields In The Administration Forecast
Both the CBO and the Administration forecast higher 10 year Treasury yields than economists in the SPF.
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