BIS paper examines link between low growth and recessions


A working paper published by the Bank for International Settlements, on September 19, finds growth rates may be useful in predicting future recessions in the US.

The authors, Wai-Yip Alex Ho and James Yetman, say a stalling economy is one "growing too slowly for the normal drivers of growth to function" that experiences a sharp deterioration in economic performance, potentially entering a recession.

The paper finds a low, positive, growth rate is not indicative of an impending recession, and is

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