There was some justified criticism of Nancy Pelosi’s job loss graph: First, that it showed absolute losses rather than relative to the size of the job market and secondly that in only included the two most recent recessions, both of which were relatively mild.
Here’s a graph from calculated risk blog, by way of Daily Kos, that corrects for both of these (click for larger image):
A couple comments:
- Recent recessions have been shallower, but had slower recoveries
- While we haven’t hit bottom yet, so far we are more or less in line with past recessions. It’s too early to say if this downturn is significantly worse than in the past.
- The real question is whether we can make a quick turn around, as in the pre-1990 recessions, or have a long period of poor employment numbers.