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Mike Shedlock, author and blogger at MishTalk, raises the question of how much credit growth is necessary to expand real GDP.
He presents data-driven analysis to show the relationship between credit growth and changes in real GDP.
Shedlock has previously questioned the labeling of an 8% recession probability as excessive pessimism in his analysis of recession odds. In a separate report, he noted that Federal Reserve minutes suggested higher inflation risk and projected weaker employment figures in the United States, according to his coverage of Fed communications. These topics add further context to his ongoing coverage of U.S. economic conditions.