There’s little doubt that the economy has improved. Unemployment is down, and confidence is up, at least in general. But it can be tough to determine the extent of the perceived recovery. Depending on which news outlet you choose, reports can be wildly disparate, if not overtly contradictory. CNN recently published a report citing three primary statistics that economists say accurately indicate the relative strength of the current economy.
- Spending: Not surprisingly, people spend more money when they’re making more, or at least when they think they’re making more.
- The Real Estate Market: Home sales and new home construction tend to mimic the greater trend of the economy.
- Manufacturing: Naturally, if people are buying more, somebody has to be making it. Analyzing manufacturing trends can tell us a lot about the overall economy.
For more on this, take a look at the article on CNN.com.