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That fall in GDP may not be as bad as it seems
Apr 28, 2022

That fall in GDP may not be as bad as it seems

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Slowed inventory growth and a surge in imports have a lot to do with it. Plus: The socioeconomic diversity of economists, and Japan's low interest rates.

Segments From this episode

Businesses grew their inventories more slowly in the first quarter. That dragged down GDP.

Apr 28, 2022
The downturn isn't surprising, considering inventories grew by a record amount the quarter before.
Inventories did rise in the first quarter, but the GDP calculation only cares about how much they changed from the previous quarter.
Michael M Santiago/Getty Images

The trade deficit was partly to blame for the hit to GDP. But there's a silver lining.

Apr 28, 2022
Global turmoil put a cap on U.S. exports, while the easing of supply chain snags allowed Americans to import more.
More imports and fewer exports caused a slight dip in GDP, but that's giving the supply chain a chance to recover.
Mario Tama/Getty Images

Japan, bucking the global trend, keeps interest rates low

Apr 28, 2022
While some major central banks tighten monetary policy to fight inflation, the Bank of Japan is taking a very different approach.
The Bank of Japan's headquarters in Tokyo. Unlike many central banks, Japan's is keeping interest rates low, expecting inflation to fade.
Kazuhiro Nogi/AFP via Getty Images

Economics’ diversity problem includes socioeconomic diversity

Apr 28, 2022
A new working paper analyzing socioeconomic diversity in the economics profession finds it sorely lacking.
U.S. economics Ph.D. recipients are less socioeconomically diverse than Ph.D. recipients in other academic disciplines, according to a working paper published by the Peterson Institute for International Economics.
Jens Schlueter/Getty Images

What does the current energy crisis mean for the clean energy transition?

Apr 28, 2022
The war in Ukraine is forcing the U.S. to reconsider its dependence on oil.
"We have seen this scenario time and time again, where oil is proving to be an unstable factor in our economy," said Mark Brownstein at the Environmental Defense Fund. "And now we have the opportunity to move to a different future."
David McNew/Getty Images

The NFL draft is designed to promote parity in the league. That provides an incentive to lose on purpose.

Apr 28, 2022
The worst team in last year's league gets first pick from the new crop of players turning pro.
Former Miami Dolphins' head coach Brian Flores of the Miami Dolphins alleges that team’s owner, Stephen Ross, offered nearly $100,000 for every game the team lost in 2019. The NFL is investigating the allegations.
Jonathan Bachman/Getty Images

Music from the episode

1 Thing Amerie
Make It Better (feat. Smokey Robinson) Anderson .Paak, Smokey Robinson
Bustling Freddie Joachim

The team

Nancy Farghalli Executive Producer
Daisy Palacios Senior Producer
Sean McHenry Associate Producer
Andie Corban Associate Producer
Richard Cunningham Associate Producer