Garrett Tedeman, MBA, CPA

This is really something.  For an exercise in what is called “visualization” take a look at the job losses in this chart.  In the words of the immortal Harry Carry:  “Holy Cow!”

Source:  Bureau of Labor Statistics (BLS)

http://www.speaker.gov/blog/?p=1683

This chart compares the job loss so far in this recession to job losses in the 1990-1991 recession and the 2001 recession – showing how dramatic and unprecedented the job loss over the last 13 months has been. Over the last 13 months, our economy has lost a total of 3.6 million jobs – and continuing job losses in the next few months are predicted.

By comparison, we lost a total of 1.6 million jobs in the 1990-1991 recession, before the economy began turning around and jobs began increasing; and we lost a total of 2.7 million jobs in the 2001 recession, before the economy began turning around and jobs began increasing.

Lowest since 1694?!?

Bank of England Reduces Interest Rate to 1% to Fight Recession

By Brian Swint

Feb. 5 (Bloomberg) — The Bank of England cut the benchmark interest rate to the lowest since the bank was founded in 1694 to help drag the British economy out of the deepening recession.

The nine-member Monetary Policy Committee, led by Governor Mervyn King, reduced the bank rate to 1 percent from 1.5 percent. The decision matched the median estimate of 61 economists of a Bloomberg News survey.

The U.K. economy will shrink the most since 1946 this year and faster than any other industrialized country, International Monetary Fund forecasts show. Prime Minister Gordon Brown’s government has given the central bank powers to spend up to 50 billion pounds ($73 billion) on bonds and commercial paper as interest rates lose their potency to aid economic growth.

“We have a deep recession and a credit crunch,” said Michael Saunders, chief Western European economist at Citigroup Inc. in London. “Why wait? The debate is about how the economy can ever recover, and the Bank of England has the answer to that in its hands.”

King will present the bank’s updated economic forecasts on Feb. 11. Minutes of this month’s meeting, showing how the members voted, will be published on Feb. 18.

The Bank of England has now lowered its rate by 4 percentage points since October. The U.S. Federal Reserve has reduced its key rate to a range between zero and 0.25 percent. The European Central Bank will probably keep its rate at 2 percent today.