Karine Jean-Pierre, White House press secretary said Wednesday that there was no attempt by the administration to define recession.
” “If everything is going well, then why are White House officials trying to define recession?” Fox News White House correspondent Peter Doocy questioned Jean-Pierre.
“No, we are not redefining recession,” Jean Pierre replied. (RELATED : Economist dismantles Biden Administration’s attempt to redefine recession with one chart
” If we understand that a recession would be defined as two quarters of zero GDP growth, then the White House officials will come up and say “No, not that’s what a recession’.
Jean-Pierre continued. “How is that not redefining recession?”
Jean-Pierre doubled down, saying, “Because that’s not the definition.”
Doocy: “If things are going so great, why are White House officials are redefining recession?”
Jean-Pierre: “We are not.”
Doocy: “It’s two consecutive quarters of negative GDP growth… How is that not redefining recession?”
Jean-Pierre: “That’s not the definition.” pic.twitter.com/eyyvYdZWMj
— Greg Price (@greg_price11) July 27, 2022
The generally agreed upon definition of a recession is two consecutive quarters of negative GDP growth, according to Axios. But a July 21 blog post from the Biden White House contested that definition.
The White House posted Thursday that “while some maintain that two consecutive quarters of falling real GDP constitute a recession, that is neither the official definition nor the way economists evaluate the state of the business cycle.”
The “it’s not a recession” discourse is so ANNOYING and peak econ brain. Nobody gives a shit about definitions, they care that gas and food are too expensive
— Saagar Enjeti (@esaagar) July 27, 2022
Inflation rose to 9.1% in July, the highest percentage increase in a year since December 1981.
According to E.J. Antoni, a research fellow for regional economics in the Center for Data Analysis at the Heritage Foundation, “the average American worker has lost around $3,400 in annual income since Biden took office.” (RELATED: Rising Inflation Is Driving Up Elderly Americans’ Taxes)
On Tuesday, Financial Times’ Rana Foroohar pointed out on CNN that the technical definition of a recession doesn’t matter if Americans are unable to afford items such as food and gas.
People feel that they are in a recession, regardless of whether or not they actually are. There’s much debate around technical recession. But, Ana and I both know that it comes down to how we feel,” Foroohar stated. Are you able to keep money in your pocket? Do you have money in your wallet? People are .” In Doocy’s Wednesday questioning, Doocy mentioned that Brian Deese, White House economist, had once defined a recession to be two quarters of zero GDP growth.
“Brian Deese said in 2008, ‘Of course, economists have a technical definition which is — of a recession — which is two consecutive quarters of negative growth,'” Doocy said. He said yesterday that two quarters with negative GDP growth was not the definition of recession. What changed?”
“It is not, it is not,” Jean-Pierre said, adding, “And I will say that the textbook definition of recession is not two negative quarters of GDP.”